Option Block 274: More Buyers than Sellers

Trading Block: All is right with the world again! Most indices up over 1% today after Chinese export data beats expectations. Prepping for the Apple event. How big could this still be? Groupon continues to rally - announced acquisition of travel app Blink.

CITI closing CBOT desks.

Odd Block: Call spreads trade in SPDR S&P Homebuilders ETF (XHB), puts trade in CBOE Volatility Index (VIX), calls trade in Smithfield Foods Inc. (SFD), puts trade in iShares MSCI Emerging Markets Index ETF (EEM).

Xpress Block: Lulu and Apple, as well as many other hot names on the OX desk.

Mail Block:

• Question from Berger Meister - Just to clarify from your last show - A back spread is net long units and front spread is a traditional ratio? Correct? Why such dumb names?
• Question from N. Sanchez - I have heard a lot about volatility smiles, but from listening to your show, it sounds like the volatility skew actually has a downward slope to it. Does the volatility smile still exist or is it limited to odd circumstances such as the "Apple Zealots" that you have discusses on the show previously. Thank you so much for this tremendously informative program.

Around the Block: LULU earnings 9/12.