Mike Khouw Sees Unusual Options Activity In SPDR S&P 500 ETF Trust

On CNBC's Options Action, Mike Khouw spoke about bearish options activity in SPDR S&P 500 ETF Trust SPY on Thursday. He said that put options outnumbered call options 2 to 1 and the options volume was above average.

One institutional trade caught Khouw's attention and he decided to share it with the viewers. He noticed a purchase of 45,000 contracts of the August 207.50 puts for $2.10. He added that the trader rolled another bearish position. The first position was a bearish bet that the SPDR S&P 500 ETF Trust is going to trade below $210 and now he is betting that it is going to trade below $205.40 at the August expiration.