The S&P 500 and the Nasdaq gained ground on Wednesday(May 13) with a boost from artificial intelligence-related tech shares, which helped markets look past hotter-than-expected inflation data and the growing probability that the Federal Reserve will hold to its restrictive monetary policy for the foreseeable future.
The S&P 500 and the Nasdaq reversed earlier declines to notch fresh record closing highs, as chip stocks rebounded from Tuesday's decline.
Regarding the options market, a total volume of 65,661,128 contracts was traded on Wednesday.
Top 10 Option Volumes
Top 10: NVIDIA, Tesla Motors, Apple, Nokia Oyj, Ford, Meta Platforms, Inc., Micron Technology, Palantir Technologies Inc., Microsoft, Amazon.com
NVIDIA stock rallied Wednesday, lifted by news that Chief Executive Jensen Huang joined a delegation of U.S. CEOs accompanying President Donald Trump on a diplomatic visit to China.
A total number of 5.15 million options related to NVIDIA were traded on Wednesday, of which call options accounted for 72%. Particularly high volume was seen for the $230 strike call option expiring May 15, with 198,741 contracts trading. For example, the $230 strike call option expiring this Friday soared 110%.
Tesla Motors’s stock rose early, then fell, then rose again on Wednesday as CEO Elon Musk headed to China.
Shares of the electric-vehicle maker traded up early, then dropped to as low as $430.21 before rising to $445.27, up 2.7% on the day.
A total number of 4.65 million options related to Tesla Motors were traded on Wednesday, of which call options accounted for 69%. Particularly high volume was seen for the $450 strike call option expiring May 13, with 479,653 contracts trading.
Unusual Options Activity
Alibaba shares jumped 8% on Wednesday as investors liked the e-commerce giant’s bullish tone on AI, even as it reported a plunge in its core profit for the March quarter.
A total number of 461.92K options related to Alibaba were traded on Wednesday, of which call options accounted for 82%. Particularly high volume was seen for the $150 strike call option expiring May 15, with 38,404 contracts trading.
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: Intel, AMC Entertainment, Micron Technology, SanDisk Corp., UWM Holdings Corporation, Circle Internet Corp., Qualcomm, WAVE Life Sciences, Strategy, Roblox Corporation
Top 10 bearish stocks: NVIDIA, Nokia Oyj, Netflix, Advanced Micro Devices, Amazon.com, Tesla Motors, Beyond Meat, Inc., Snap Inc, Microsoft, Oracle
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