As well as betting on further outright falls in US crude prices, traders have been aggressively taking up put options
-- an option to sell a contract once it has fallen to a certain level -- at prices as low as $35 and even $30 per barrel.
With regard to the question of whether to sell their put options
on the stock exchange or use them to tender shares, shareholders are advised to follow the instructions and recommendations of their custodian bank.
Therefore, the government guarantee makes put options
on the financial sector index "cheap" relative to put options
on its member banks.
to) (NYSE Amex:TGB) stated on Tuesday the purchase of put options
on approximately 90% of its 2012 copper production to ensure a minimum selling price of USD3.
However, the price of a put option
rises with the fall in the underlying security's price as the lower the latter's price relative to the strike price on the exercise day, the higher the pay-off.
IF THE market is expected to remain range- bound, say in the range of 5,100- 4,900 points on the National Stock Exchange ( NSE) index Nifty from the current 5,137, one can buy Nifty 5,100 put options
and sell 4,900 put options
The central bank buys dollars through put options
any time the benchmark representative market rate (TRM) is more than five percent above the 20-day moving average, it said.
When a taxpayer writes (grants) a put option
(an option the holder may exercise, requiring the option writer to purchase something), either (1) the option is exercised, with the option premium being included in the purchaser's basis for the property purchased; or (2) the option lapses, with the option premium constituting ordinary income to the option writer.
Another strategy is buying a put option
to protect an existing stock position, which is like buying downside price insurance.
Most embarrassing to the government, however, is the fact that many of the mysterious put options
were purchased through an investment firm that was formally headed by Buzzy Krongard, the current executive director of the CIA.
For instance, your company may buy a sterling put option
to hedge an anticipated future stream of sterling revenues regardless of an existing sterling purchase commitment -- the effective "natural" hedge.
1:25 PM Financials Strong; Yet Put Options
Summary: A combination of call and put options
can help make profit and limit losses in a market likely to be bearish in the near term.
NEW YORK -- A class action lawsuit was filed yesterday in the United States District Court for the Northern District of California on behalf of shareholders who purchased securities and/or sold put options
of Apple Computer, Inc.
Summary: Beat the market volatility and squeeze it for profit by using a combination of call and put options
called long and short straddles.