Wall Street's main indexes closed lower on Wednesday, with the S&P 500 and the tech-heavy Nasdaq sinking to three-week lows as nagging worries about the artificial intelligence trade weighed on technology stocks.
Regarding the options market, a total volume of 55,757,066 contracts was traded on Wednesday.
Top 10 Option Volumes
Top 10: $Tesla(TSLA)$, $Nvidia(NVDA)$, $Broadcom(AVGO)$, $Palantir(PLTR)$, $Oracle(ORCL)$, $AMD(AMD)$, $Netflix(NFLX)$, $Strategy(MSTR)$, $Amazon(AMZN)$, $Apple(AAPL)$
Source: Tiger Trade App
$Oracle(ORCL)$ shares fall 5.4% on Thursday. Oracle’s largest data center partner Blue Owl Capital will not back a $10 billion deal for its next facility, as the software group faces increased concerns about its rising debt and artificial intelligence spending, the Financial Times reported on Wednesday.
Oracle said final negotiations for the equity deal are “on schedule,” without naming a partner, in response to a Financial Times report earlier Wednesday that said the project was in limbo.
Oracle has used this form of off-balance sheet fundraising for other sites. A $38 billion debt package is backing the construction of data center facilities in Wisconsin and Texas, which are being developed by Vantage Data Centers. In addition, an $18 billion loan will be used for a new data center campus in New Mexico, where Blue Owl is providing the equity.
A total number of 670.91K options related to $Oracle(ORCL)$ was traded on Wednesday, of which 54% were put options. Put options related to Oracle showed huge gains on Wednesday. For example, the $180 strike put strike expiring this week soared 387.65%.
Unusual Options Activity
Cannabis company $Canopy Growth(CGC)$ rose 5% on Wednesday and continued to rise another 10% in premarket trading on Thursday. President Donald Trump is expected to address the potential loosening of federal regulations on marijuana on Thursday, according to a White House official, setting up a decision that could sharply reverse decades of U.S. drug policy.
Trump said on Monday that he was considering an executive order to reclassify marijuana as a less dangerous drug - a decision that could reshape the cannabis industry, ease criminal penalties and unlock billions in research funding. Such a shift would represent one of the most significant federal changes to marijuana policy in decades, reducing oversight to the level of common prescription drugs and potentially opening doors long closed to banks and investors.
A total number of 118,092 options related to $Canopy Growth(CGC)$ was traded on Wednesday, of which 91% were call options. A particularly high open interest was seen for the $2 strike call options expiring this week, with a total number of 24,542 unclosed options as of Wednesday. The $2 strike call options expiring Jan. 16 also showed high open interests, with a total number of 89.009 unclosed options as of Wednesday.
TOP Bullish & Bearish Single Stocks
This report shows stocks with the highest volume of bullish and bearish activity by option delta volume, which converts option volume to an equivalent stock volume (bought or sold).
If we take the total positive option delta volume and subtract the total negative option delta volume, we will get the net imbalance. If the net imbalance is positive, there is more bullish pressure. If the net is negative, there is more bearish pressure.
Top 10 bullish stocks: $ORCL(ORCL)$, $NVDA(NVDA)$, $NFLX(NFLX)$, $AVGO(AVGO)$, $META(META)$, $COIN(COIN)$, $CMG(CMG)$, $XOM(XOM)$, $T(T)$, $FCX(FCX)$
Top 10 bearish stocks: $MSFT(MSFT)$, $TSLA(TSLA)$, $GOOGL(GOOGL)$, $INTC(INTC)$, $LUV(LUV)$, $GOOG(GOOG)$, $AMZN(AMZN)$, $KVUE(KVUE)$, $MU(MU)$, $GEV(GEV)$
If you are interested in options and you want to:
Share experiences and ideas on options trading.
Read options-related market updates/insights.
Learn more about options trading if you are a beginner in this field.
Please click to join Tiger Options Club
$(ORCL)$ $(CGC)$
Comments