Fed Disappoints UUP Options Bulls

The ETF Professor noted surprising options activity in the PowerShares DB US Dollar Index Bullish (NYSE: UUP), which tracks the US dollar index. More than 106,000 November 23 calls have changed hands today, but with the Fed leaving rates unchanged, those calls aren't likely to get the near-term boost traders were hoping for.

The calls need to rise by 3% before expiration to become profitable. Options activity in UUP is triple the daily average and trade in the November 23 calls has risen to double open interest.

While this appears to be an outright bullish bet on the greenback, the Professor cautions it could also be a hedge on a long position in gold or oil.