Today's Options Market Update

Stocks Higher, Tech Rebounds off Strong TSM Earnings

January 15, 2026 Nathan Peterson

Stocks are rebounding from yesterday’s pullback as investors applaud robust results out of chip manufacturer Taiwan Semiconductor.

#--bcn-image--2959{display: none !important;}

Tech stocks were on the rebound early Thursday after Taiwan Semiconductor Manufacturing (TSM) reported blockbuster earnings and said it expected to significantly raise investment over the next several years to meet AI demand, sending chip stocks higher a day after the Nasdaq fell 1%.

The weekly roll call of bank earnings continued early today with results from Morgan Stanley (MS) and Goldman Sachs (GS), the last of the biggest U.S. banks to report. Both beat expectations. Meanwhile, weekly initial jobless claims came in lower than expected, suggesting that the labor market is still in a state of "no hire, no fire."

Major indexes fell Wednesday but finished off their lows, helped late in the session by hopes of easing tensions between the U.S. and Iran. Technology stocks backtracked more than 1.5% on news reports that China would only allow imports of Nvidia's (NVDA) H200 chips for "special circumstances," and that Beijing had told companies not to use cybersecurity technology made by U.S. and Israeli firms. This double whammy hit both semiconductors and cybersecurity stocks.

Source: Schwab Center for Financial Research

Morning Rush

The 10-year U.S. Treasury yield (TNX) is higher by ~2 basis point to 4.162%.

The U.S. Dollar Index ($DXY) is higher by 0.256 to 99.389.

WTI Crude Oil (/CL) is lower by 4.80% to $59.04/barrel.

Gold prices have traded in a range of $4,584.00-$4,637.20 and were last seen trading lower by ~0.35% to $4,619.30/oz.

Natural Gas prices have traded in a range of $3.031-3.218 today and were last seen trading lower by 2.47% to $3.043.

Bitcoin (BTC) is lower by ~1.24% to $95,735.78 today.

Today's Bullish Activity

Shares of Taiwan Semiconductor Manufacturing (TSM + $22.15 to $349.22) are gapping up this morning after the chip maker reported Q4 EPS of $3.14 ($0.35 beat) on revenue on Q4 revenue that increased 25.46% year-over-year to $33.73B (slightly above the $33.27B expected). TSM also provided upbeat guidance as Q2 revenue is expected to come in a range of $34.6-35.8B, which is above the $33.06B FactSet consensus estimate. Calls are outpacing puts nearly 2:1 with the January 16^th 350.00 call being the highest volume contract (volume is 24,320).

Also trading to the upside this morning is Morgan Stanley (MS + $7.82 to $188.60) after the investment banking giant reported Q4 earnings of $2.68 per share ($0.27 beat) on Q4 revenue that increased 10.2% YoY to $17.89B (above the $17.74B expected). Morgan Stanley CFO Sharon Yeshaya said that dealmaking activity is broadening and expects a greater volume of IPOs in 2026 with continued M&A activity, particularly in healthcare, industrials and sponsor-led transactions. Calls are outnumbering puts ~3:2 with the January 16^th 190.00 call being the highest volume contract (volume is 3,598).

New 52-week highs (208 new highs today): Applied Materials Inc. (AMAT + $21.83 to $323.73), Caterpillar Inc. (CAT + $8.23 to $646.98), Nucor Corp. (NUE + $2.53 to $174.82)

Notable Call Activity

Some unusual call activity (~10:1 calls over puts) is being seen in AGNC Investment Corp. (AGNC + $0.06 to $11.64) which is primarily driven by activity on the January 23^rd 12.00 call. Volume on this contract is 52,199 versus open interest of 1,068, so we know that the activity primarily represents new positioning. The bulk of the transactions consisted of various-sized blocks that were bought at various times for between $0.03-0.06 each, which suggests bullish intent. AGNC is tentatively scheduled to report Q4 earnings on January 26^th after the bell, so this positioning does not capture the potential impact of that event.

Today's Bearish Activity

Shares of Rocket Lab Corp. (RKLB - $3.26 to $88.54) are moving lower this morning after KeyBanc downgraded the provider of launch services and space systems solutions to “Sector Weight” from “Overweight” and removed their previous $75.00 price target on the stock. Analysts at KeyBanc said the company’s multi-year growth catalysts are well known but the current risk/reward profile appears balanced in the near-to-medium term. Calls are outnumbering puts better than 2:1 with the January 16^th 95.00 call seeing the most action from traders (volume is 16,276).

Also trading to the downside today is GE Healthcare Technologies Inc. (GEHC - $2.10 to $83.20) after UBS downgraded the healthcare technology company to “Sell” from “Neutral” while bumping their price target on the stock to $77.00 from $73.00. Analysts at UBS acknowledged the “enthusiasm” around the company’s Flycardo and photon-counting computed tornography but believe GEHC’s “best-case execution scenarios” are priced into the stock. Option volume is light at the time of this writing with the January 16^th 82.50 call being the highest volume contract (volume is 119).

New 52-week lows (53 new lows today): Adobe Systems Inc. (ADBE - $0.86 to $303.58), Docusign Inc. (DOCU - $0.75 to $61.12), Wix.com Ltd. (WIX - $2.23 to $85.79)

Notable Put Activity

Some unusual put activity (~17:1 puts over calls) is being seen in Organon & Co. (OGN - $0.13 to $8.48) as option traders primarily target the March 20^th 7.50 put. Volume on this contract is 5,031 versus open interest of 770, so we know that the activity primarily represents new positioning. The bulk of the transactions consisted of various mid-sized blocks that were bought around the same at the ask price of $0.50 each, which suggests bearish intent.

Volume Signals

Ares Management Corp. (ARES + $0.77 to $170.69): Option volume is running at ~57x the daily average on this alternative asset manager which is primarily driven by a 3,260 contract block that was bought on the January 2027 140.00 put for $10.87 when the bid/ask spread was $8.90 x $12.50 (open interest is 711). We know that this block is a new position based on the open interest figure, and we can assume that the intent is bearish in nature since the trade took place above the midpoint of the bid/ask spread.

Oceaneering International Inc. (OII + $0.01 to $27.07): Option volume is running at ~12x the daily average on this provider of engineered services and products to offshore energy, defense, aerospace and manufacturing industries which is primarily driven by a 2,000 contract block that was bought on the March 20^th 40.00 call at the ask price of $0.15 (open interest is 0). We know that this block is a new position based on the open interest figure, and we can assume that the intent is bullish in nature since the trade took place at the ask price.

Hesai Group Inc. (HSAI + $1.76 to $28.37): Option volume is running at ~11x the daily average on this maker of three-dimensional light detection and ranging solutions (LIDAR) solutions as option traders primarily target the February 20^th 30.00 call. Volume on this contract is 4,380 versus open interest of 1,387, so we know that the volume primarily represents new positioning. The bulk of the transactions consisted of various-sized blocks that were bought around the same time at the ask price of $1.50 each, which suggests bullish intent.

Gauging Volatility

The Cboe Volatility Index (VIX - 1.37 to 15.38) has been in negative territory all day today (the intraday range is 15.34-16.54), as equity markets are higher around the midday mark (DJI + 383, SPX + 51, $COMP + 244). VIX option volume is above average today at 624,129 contracts, and calls are outnumbering put nearly 2:1 s so far today.

Investors should consider carefully information contained in the prospectus, or if available, the summary prospectus, including investment objectives, risks, charges, and expenses. You can request a prospectus by calling 800-435-4000. Please read the prospectus carefully before investing.

Options carry a high level of risk and are not suitable for all investors. Certain requirements must be met to trade options through Schwab. Please read the Options Disclosure Document titled "Characteristics and Risks of Standardized Options." before considering any option transaction. Call Schwab at 1-800-435-4000 for a current copy. Supporting documentation for any claims or statistical information is available upon request.

Futures and futures options trading involves substantial risk and is not suitable for all investors. Please read the Risk Disclosure Statement for Futures and Options prior to trading futures products.

The information provided here is for general informational purposes only and should not be considered an individualized recommendation or personalized investment advice. The investment strategies mentioned here may not be suitable for everyone. Each investor needs to review an investment strategy for his or her own particular situation before making any investment decision. All expressions of opinion are subject to change without notice in reaction to shifting market conditions. Data contained herein from third-party providers is obtained from what are considered reliable sources. However, its accuracy, completeness, or reliability cannot be guaranteed.

Investing involves risk including loss of principal.

All references to subjects (securities, indexes, futures contracts, and options contracts) were derived based on screens conducted by the writer for certain anomalous activity such as volumes, volatility and other related market data. As needed for brevity, the writer may have applied discretion when choosing among screen outputs for inclusion. Such discretion may have been based on news reports or other considerations of public interest. The views or opinions are those of the writer, and are subject to change without notice. All referenced subjects were chosen for illustrative purposes only and should not be considered recommendations, offers to sell, or solicitations of offers to purchase.

All corporate names and market data shown above are for illustrative purposes only and are not a recommendation, offer to sell, or a solicitation of an offer to buy any security.

Past performance is no guarantee of future results.

This information provided here is for general informational purposes only, and is not intended to be a substitute for specific individualized tax, legal, or investment planning advice. Where specific advice is necessary or appropriate, you should consult with a qualified tax advisor, CPA, Financial Planner, or Investment Manager.

Schwab does not recommend the use of technical analysis as a sole means of investment research.

Indexes are unmanaged, do not incur management fees, costs, and expenses and cannot be invested in directly. For more information on indexes please see schwab.com/indexdefinitions.

The Schwab Center for Financial Research is a division of Charles Schwab & Co., Inc.

0126-ZDGY