Today's Options Market Update

Markets Rally as Trump Speaks, Cook Case Looms

January 21, 2026 Joe Mazzola

Trump's speech in Davos and arguments today at the Supreme Court about his effort to fire Fed Gov. Lisa Cook will likely occupy investors' attention today. Markets are up early.

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U.S. markets are reversing course and holding gains early Wednesday after the worst sell-off since October 10 as geopolitical concerns may be abating. On one side of the Atlantic, President Trump addresses the World Economic Forum in Davos this morning following his threats of new tariffs over Greenland, while on the other, the Supreme Court hears arguments over Trump's attempt to fire Federal Reserve Governor Lisa Cook over alleged but unproven financial improprieties. Markets could be choppy today, as news matriculates from both venues.

On Tuesday, investors were in a risk-off, "sell America" mood, driving U.S. stocks, Treasury bonds, and the dollar sharply lower over Trump's Greenland push and rising Japanese bond yields. The Magnificent Seven mega-cap tech stocks took a hit, with each closing at least 1% lower, as the Nasdaq lost 2.4% and the S&P 500 shed 2.1% for its worst day in three months. Nvidia (NVDA) lost more than 4% and Broadcom (AVGO) more than 5%. Gold and silver hit new record highs. Gold jumped another 2% early today, though Treasury yields slipped from yesterday's five-month peak. In his speech today, which was still taking place as of publication, Trump boasted about the U.S. economy and said Europe is on the wrong track, the BBC reported.

On the earnings front, Netflix (NFLX) sank early after the streaming firm's guidance disappointed. This morning featured Johnson & Johnson (JNJ) and Halliburton (HAL), while reporting accelerates tomorrow with earnings from Intel (INTC). Tomorrow also features gross domestic product (GDP) and Personal Consumption Expenditures (PCE) prices data. Analysts expect the government's final estimate for third quarter GDP to remain 4.3% on a seasonally adjusted annual basis, while October PCE prices are expected to rise a modest 0.2%. Personal income and spending will also be out early tomorrow, giving insight into consumer trends.

Source: Schwab Center for Financial Research

Morning Rush

The 10-year U.S. Treasury yield (TNX) is lower by 2 bps to 4.27%.

The U.S. Dollar Index ($DXY) is slightly higher by 0.07% at 98.71.

The CBOE Volatility Index^® (VIX) is down 5.06% to 19.06.

WTI Crude Oil (/CL) is higher by 0.10% to $60.42/barrel.

Bitcoin (BTC) is lower by 1.92% to $87,925.

Ethereum (ETH) is lower by 3.40% at $2,901.

Today's Bullish Activity

Shares of Intel Corp. (INTC + $5.19 to $53.75) are up over 10.00% today and 45% year to date, trading at a 52-week high, ahead of the company's earnings report, expected for this Thursday after the close. Intel is expected to report adjusted EPS of $0.08 on revenue of $13.42 billion for the fourth quarter of 2025, according to FactSet. Should earnings come in at that level, this would represent a decline from last year when EPS was $0.13 on revenue of $14.26 billion.

Per Bloomberg, several Wall Street analysts have turned more positive on Intel stock in recent weeks, with some predicting Apple could become a customer for Intel's 18A and 14A chip-manufacturing processes. This includes Susquehanna which raised its price target to $45 from $40, Bernstein which raised its price target to $36 from $35, and HSBC which took its price target up to $50. Seaport Research took its price target up to $65, one of the highest on Wall Street. Bloomberg also notes that eight Wall Street firms now have INTC shares at a Buy or the equivalent, up from five in December and just two as recently as August.

Option trading in INTC currently stands at 620,400 contracts, 6x the average daily volume with calls outpacing puts 2.5:1. Leading the way are the following trades, expirations, and strikes:

March 20th, 2026, 60.00 call accounted for 24,020 contracts; open interest is 53,881 contracts.
January 23rd, 2026, 50.00 put accounted for 19,733 contracts; open interest is 1,686 contracts.
January 23rd, 2026, 52.00 call accounted for 17,251 contracts; open interest is 11,787 contracts.

New 52-week highs (444 new highs today): Intel Corp. (INTC + $5.19 to $53.75), Pavmed Inc. (PAVM + $14.60 to $20.79), Micron Technology (MU + $18.90 to $383.90), Hecla Mining Company (HL + $0.23 to $28.47)

Notable Call Activity

Unusual call activity is noted today in Cassava Sciences Inc. (SAVA + $0.16 to $2.15), as call volume currently stands at 27,981 contracts, 32x the average daily volume and 1400x the put volume. Nearly all of the activity can be attributed to the January 23rd, 2026, expiration month, specifically at the 2.50 strike calls. Over 25,000 contracts have traded hands, mostly on the buy side, as large block orders have dominated the trade. Prices paid for the calls ranged from $0.03 to $0.06. These appear to be new positions, given the open interest of only 430 contracts (suggesting bullish intent). Shares of SAVA are up over 8.00% today, but down by 56% from a 52-week high price of $4.98.

Another name exhibiting unusual call activity today is On Holdings (ONON + $2.07 to $46.17), as call volume has risen to 22,895 contracts in morning trading, 15x the average volume and 23x the put volume. Traders are sellers in the July 17th, 2026, expiration month, primarily at the 52.50 strike call, where multiple block orders totaling over 20,000 contracts have traded with prices ranging from $3.90 to $4.15. These appear to be new positions, given the open interest of 30 contracts (suggesting neutral to bearish intent). Shares of ONON were higher earlier today, following an upgrade by Goldman Sachs, but at least for now, appear to be failing at the 200-day SMA, as traders are fading the move.

Today's Bearish Activity

Shares of Netflix Inc. (NFLX - $4.06 to $83.20) are down over 4.00% today, pushing shares to a 52-week low, despite narrowly beating earnings expectations, as the disappointing forward earnings forecast overshadowed an increase in subscribers, pricing, and ad revenue. The company reported sales of $12.1 billion in the fourth quarter and EPS of $0.56, both ahead of analysts' expectations. Netflix reported sales of $45.2 billion for all of 2025, up 16% from the year before.

It was however the forecast that Netflix issued for EPS of $0.76 for the current quarter, below Wall Street estimates of $0.82, that likely disappointed investors. One factor affecting the forecast is the cost of the Warner Bros. deal which is now expected to add $275 million in costs for this year, on top of the $60 million spent through the end of 2025. Netflix announced it will pause share buybacks to accumulate cash for the Warner Bros. acquisition after it amended the terms of the deal.

Option trading in NFLX currently stands at 1,148,318 contracts in morning trading, on pace for 5x the daily average, with calls outpacing puts 1.5:1. Leading the way are the following trades, expirations, and strikes:

January 23rd, 2026, 85.00 call accounted for 48,556 contracts; open interest is 4,687 contracts.
January 23rd, 2026, 90.00 call accounted for 32,744 contracts; open interest is 32,558contracts
January 23rd, 2026, 84.00 call accounted for 28,169 contracts; open interest is 1,162 contracts.

New 52-week lows (74 new lows today): Netflix Inc. (NFLX - $4.06 to $83.20), Kraft Heinz Company (KHC - $1.37 to $22.41), ServiceNow Inc. (NOW - $0.64 to $124.76), Xerox Corp. (XRX - $0.32 to $2.19)

Notable Put Activity

There is unusual put activity today in the Xtracker Harvest CSI China ETF (ASHR + $0.22 to $33.70). This activity equates to over 50,005 put contracts, 5x average daily put volume and 100x today's call volume. Nearly all the volume can be attributed to activity in the March 20th, 2026 expiration month where over 45,000 contracts have transacted through two large block trades. Traders bought the March 29.00 strike puts, paying $0.15 when the bid/ask was $0.10 x $0.15. Given the open interest of 2,194 contracts, we know this represents new positioning (suggesting bearish intent). Shares of ASHR have pulled back slightly from their 52-week high price of $34.35, set last week, but are still trading above their 50-day SMA.

Unusual activity has also been detected in the iShares China Large Cap ETF (FXI + $0.23 to $39.10), as put volume stands at 218,213 contracts, 8x average volume and 6x call volume, in morning trading. Much of the volume can be attributed to two large block orders in the March 20th, 2026, expiration month. Traders bought over 180,000 of the March 33.00 strike puts, paying $0.17 when the bid/asl was $0.14 x $0.18. Open interest at the strike was 34,757 contracts, so this is likely a new position or an addition to a current long (suggesting bearish intent). Shares of FXI have been trending down for the past three months after hitting a 52-week high price of $42.00 on October 3rd.

Gauging Volatility

The Cboe Volatility Index (VIX - 1.03 to 19.06) is down by 5.06%, as equity markets are up in morning trading (DJI + 210, SPX + 22, COMPX + 18). VIX movement has occurred within a wider range today (the intraday range is 17.31 to 20.81). The highest volume contract is currently the February 18th, 2026, 80.00 call (volume is 76,012 vs. open interest of 107,202).

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