Market Overview
The S&P 500 ended lower on Wednesday (July 8) after U.S. President Donald Trump said an interim deal aimed at ending the war with Iran was "over," while Broadcom led gains among recently battered chip stocks.
Regarding the options market, a total volume of 63,283,215 contracts was traded, of which 56% were call options.
Top 10 Option Volumes
Top 10: NVDA, TSLA, AAPL, SPCX, AVGO, INTC, AMZN, MU, META, MSFT
Source: Tiger Trade App
Broadcom shares rose 4.83% on Wednesday, closing at $388.69. Apple plans to spend more than $30 billion as part of a chip-supply agreement reached earlier this week with Broadcom that will also see the chipmaker expand a factory in Colorado, the companies said on Wednesday.
As part of the deal, Broadcom will spend $1.5 billion to expand a factory in Fort Collins, Colorado. Apple said that the deal, which will result in the production of at least 15 billion chips, is part of its work with U.S. President Donald Trump's administration to source more of its chips from the U.S.
A $2.33 million put sale was the session's most notable block trade. The trader sold 1,250 put contracts with a $290 strike expiring on Jan. 15, 2027. Open interest at that strike increased by 1,280 contracts on the same day, suggesting the transaction was likely an opening trade rather than a closing sale.
Source: Tiger Trade App
With the underlying stock trading at $370.78, the $290 strike remains well below the current market price. Such a strategy is generally viewed as bullish to moderately bullish, with the seller primarily seeking to collect option premium while expressing the view that the stock is unlikely to fall materially below $290 over the medium to long term. The trade also indicates a willingness to assume the obligation to purchase the shares at a substantially lower price if assigned.
Unusual Options Activity
Amazon closed at $243.63, down 0.96% on Wednesday. While Amazon Web Service’s 2026 spending estimate remains unchanged at $159 billion, BofA increased its 2027 capex projection to $230 billion from $196 billion.
The update coincided with Amazon’s disclosure Tuesday that it plans to sell debt across eight tranches to support “general corporate purposes.” The company most recently tapped the U.S. dollar debt market in March. It has also been raising money in global markets, issuing bonds in Swiss francs, Canadian dollars, and other currencies over the last several months.
As for options market, a CALL sale worth $2.08 million was the largest displayed large trade, with 3,500 contracts sold at the 270.00 strike expiring on 2026-08-21. Considering the corresponding increase in open interest on the same day, this large Sell Call order was likely a newly opened position.
Source: Tiger Trade App
With AMZN referenced at $245.98, this call was out of the money at execution, making it a bearish to capped-bullish income trade that benefits if the stock stays below the strike into expiration or rises only modestly.
Strategically, this kind of large upside call sale typically reflects premium collection and a view that upside is limited over the life of the option rather than an outright expectation of a sharp rally.
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