Wells Fargo calls lead puts 3:1 ahead of earnings next week
Wells Fargo calls lead puts 3:1 ahead of earnings next week. The stock up 17c to $47.92 and Feb 50 calls trade in small lots at 48 to 46c this morning before a sweep of 15.8K contracts at 46c when bid-ask was 46 to 47c. 22.3K changed hands against 3.4K open interest and sellers are opening positions, according to data from ISE. Separately, however, a sweep of 10K Apr 50 calls prints $1.59 and was bought-to-open. Jan20 52.5 calls, Jan21 52.5 calls, and Jan20 45 puts are next most active in the name - 49K calls and 17K puts trade total. 30-day implied volatility is down 4.5% to 27.5 and yet in the 85th percentile of the one-year range, with the bank's next earnings report due Tuesday morning.