Ford Motor Co. (NYSE: F )
are edging down so far on the day, underperforming the broad-market
losses, and options action during morning trading suggests at least
one investor thinks shares of the car company won't move up during
the rest of the year.
By 11:02 a.m. EST, more than 6,300 in-the-money (
) January 2011 12.5 puts changed hands for $2.23 per contract,
which was higher than the ask price at the time of the trade. These
puts are home to current open interest of more than 100,000
contracts, suggesting the investor could have closed a short
position, paying $2.23 per contract to do so for a slight loss or
profit depending on the initial net credit. It's interesting that
the investor could be betting F shares will be hard-pressed to
rally any farther throughout the remainder of the year.
F did not announced any news today, and has not released its
next earning date. The market, however, expects the report around
July 22. F shares dropped more than 1%, or 13 cents, to $11.50
during midday trading.