Market News

October 18, 2016  Tue 11:04 AM CT

Kinder Morgan is drawing bearish option activity ahead of quarterly results tomorrow afternoon.

optionMONSTER's monitoring system detected the purchase of 11,000 October 19.50 puts for $0.16 to $0.30. Volume surpassed open interest of 4,621 contracts, an indication new money was put to work.

Long puts lock in the price where a stock can be sold, so they make money if shares decline. Investors use them to hedge long positions or to speculate on a drop. (See our Education section)

KMI is off 0.05 percent to $20.18 in afternoon trading and is down 8 percent in the last three months. The energy-pipeline operator is scheduled to report earnings after the close tomorrow.

Overall option volume is about average in KMI so far today.

News Archives

Education & Strategy

From the AP Archives: If It's Not There...

I have talked at great length about the fact that as an individual investor, you do not have to be in the market at all times.

More education articles »