Today's Options Market Update

Major indexes flattened awaiting today's main event: chip giant Nvidia's (NVDA) earnings after the close. Trading could be a sideways affair with investors fixated on the coming numbers. Nvidia has beaten Wall Street's earnings estimates 11 of the last 12 quarters, though shares fell four of those times, according to FactSet.

Federal Reserve independence remains on the front burner after yesterday's attempt by President Trump to fire Fed Governor Lisa Cook and Cook's refusal to step down. "Our view is that any move by the administration to influence the Fed erodes confidence in it as an institution and raises concerns among investors," said Kathy Jones, chief fixed income strategist at Schwab. It also could push longer-term yields higher by spiking inflation worries. Both the Fed and Trump have vowed to abide by whatever the courts decide.

Major indexes climbed yesterday as Nvidia rallied and Treasury yields slipped following solid demand for a 2-year note auction. But other news was thin aside from U.S. tariffs rising to 50% on imports from India, a move Trump made to punish the country for importing Russian oil. The tariff doesn't affect Apple's (AAPL) exports to the U.S. from India, which accounts for more than one-fifth of global iPhone production, Bloomberg reported.

Source: Schwab Center for Financial Research

The 10-year U.S. Treasury yield (TNX) is higher by two basis points to 4.26%.

The U.S. Dollar Index ($DXY) is up slightly to 98.28.

The CBOE Volatility Index^® (VIX) is up 3.63% to 15.12.

WTI Crude Oil (/CL) is higher by 1.06% to $63.93/barrel.

Bitcoin (BTC) is up slightly, trading at $111,900.

Ethereum (ETH) is higher by 0.56% today to $4,628.

Shares of Kohl's Corp. (KSS + $2.63 to $15.67) are up over 20.00% in morning trading after the retailer offered a more optimistic full-year sales outlook, suggesting consumer spending hasn't come to a screeching halt. Kohl's reported it saw strong performance from back-to-school categories and its latest results suggest that recent moves, such as focusing on fine jewelry and improving its womenswear selection, are helping win back consumers, per Bloomberg.  hose results included gross margins expanding by 28 basis points and net income increasing to $153 million, up from $66 million in the prior year.

Going forward, Kohl's expects comparable sales to fall no more than 5% this year, an improvement from its prior forecast. The company also forecasts adjusted earnings to come in between $0.50 and $0.80 per share for fiscal 2025, up from the company's prior guidance of $0.10 to $0.60. Kohl's hopes to get back on track and reverse its unfavorable trend of 14 straight quarters of declining revenue.

Option trading in KSS currently stands at 99,584 contracts, 10x the daily average, with calls and puts basically even. Leading the way are the following trades, expirations, and strikes:

• November 21st, 2025, 12.50 put accounted for 7,696 contracts; open interest is 4,148 contracts.
• August 29th, 2025, 17.50 call accounted for 5,214 contracts; open interest is 1,492 contracts.
• August 29th, 2025, 15.50 put accounted for 3,861 contracts; open interest is 118 contracts.

New 52-week highs (189 new highs today): Ondas Holdings Inc. (ONDS + $0.34 to $5.31), Novabay Pharmaceuticals (NBY + $0.75 to $1.65), Echostar Corp. (SATS + $6.60 to $57.47), Bank of America Corp. (BAC + $0.02 to $50.27)

Unusual call activity is noted today in Gates Industrial Corp. (GTES + $0.17 to $26.06), as call volume currently stands at 10,054 contracts, 44x the average daily volume. Most of today's activity can be attributed to a call calendar 4x5 ratio trade that occurred between the September 19th, and October 17th, 2025, expiration months. Traders are rolling their long call positions at the September 24.00 strike (4,000 contracts) out to the October 26.00 strike (5,500 contracts). This extends their duration and allows them to add extra call contracts at a credit (suggesting bullish intent).  Shares of GTES hit a new 52-week high price today and appear to be breaking out from a six-week sideways trading pattern.

Another name exhibiting unusual activity today is Trevi Therapeutics Inc. (TRVI + $01.00 to $8.42), as call volume has spiked to 8,500 contracts in morning trading, 160x daily average. Most of the activity can be attributed to a large block order to buy 6,299 calls at the 7.00 strike in the September 19th, 2025, expiration month. Traders paid $1.30, near the ask at the time of execution, and have continued to buy throughout the session, as 7,780 contracts have traded. These are new positions, given the open interest of 11 contracts (suggesting bullish intent). Shares of TRVI are up over 14% today, trading at a new 52-week high.

Shares of JM Smucker Co. (SJM - $5.89 to $104.75) are down over 5% today, after the food company's Q1 adjusted EPS and net sales that missed expectations. JM Smucker reported Q1 adjusted EPS of $1.90 vs. expectation for $1.93 on net sales of $2.11 billion, also below expectations for $2.12 billion. The company cited weakness in sales of coffee, dog snacks, sweet baked goods and fruit spreads. Higher tariffs were also highlighted as a hit to margins, as the company has been battling the impact of higher coffee costs after the 50% tariff on Brazilian goods went into effect.

Going forward, the company did boost its annual net sales forecast to a gain of 5% and maintained its full-year adjusted EPS range, which at the midpoint, is still below consensus estimates. Full-year free cash flow is expected to increase to $975 million, per Bloomberg.

Option trading in SMH currently stands at 5,846 contracts in early morning trading, on pace for 3x the daily average, with puts outpacing calls 1.5:1. Leading the way are the following trades, expirations, and strikes:

• September 19th, 2025, 100.00 put accounted for 1,281 contracts; open interest is 484 contracts.
• September 19th, 2025, 110.00 call accounted for 575 contracts; open interest is 1,442 contracts.
• September 19th, 2025, 115.00 call accounted for 350 contracts; open interest is 3,295 contracts.

New 52-week lows (9 new lows today): Modvicare Inc. (MODV - $0.06 to $0.52), Agriforce Growing Systems Ltd. (AGRI - $0.24 to $2.56), Marker Therapeutics Inc. (MRKR - $0.05 to $0.95), Virax Biolabs Group Ltd. (VRAX - $0.03 to $0.61)

There is unusual put activity today in US Antimony Corp. (UAMY - $0.29 to $4.65). This activity equates to over 5,950 put contracts, 10x average daily put volume. Traders are targeting the November 21st, 2025, expiration, specifically the 2.50 strike. Traders have sold over 4,950 contracts via multiple block trades at an average price of $0.20 when the bid/ask was $0.20 x $0.25. With 2,671contracts of open interest existing, we expect this is either a new position or an addition to a previous short (suggesting neutral to bullish intent). Shares of UAMY just hit a new 52-week high price of $5.13, during yesterday's trading session, coming on the heels of a 168% rally since July 1st.

Another example of unusual put activity occurred today in Redwire Corp. (RDW - $0.29 to $9.00), as put volume stands at 16,430 contracts in morning trading, 12x average daily volume. Over half of that volume is concentrated in the September 19th, 2025, expiration, due to activity at the 7.50 and 8.00 strikes, primarily on the sell side. Traders have sold, through multiple block trades, contracts at the 8.00 strike at an average price of $0.20 and at the 7.50 strike at an average price of $0.05. The collective open interest between the two strikes was 1,788 contracts, so we know this represents new positions (suggesting neutral to bullish intent). Shares of RDW had fallen over 35% since the company announced earnings on August 6th.

The Cboe Volatility Index (VIX + 0.50 to 15.12) up 3.63% in morning trading, as equity markets are mixed across the board (DJI + 80, SPX + 4, COMPX - 15). VIX movement has occurred within a narrow range today (the intraday range is 14.66 – 15.23). The highest volume contract is the October 22nd, 2025, 18.00 put (volume is 25,024 vs. open interest of 100,846).