Dan Nathan Sees Unusual Options Activity In iShares Barclays 20+ Yr Treas.Bond (ETF)

Dan Nathan spoke on

about bullish options activity in

. An hour before Fed's decision, when

traded at $118.83, a trader bought 51,000 contracts of the October 121/124 call spread for $0.66 per share. Total premium amounted to $3.3 million and a trade of such size increased significantly options volume in the name, setting it at 3 times average daily options volume. The call spread expires in a week and a half before the next Fed meeting and Nathan believes that there is going to be a similar situation before the next meeting. He thinks that this trade is very interesting because it was a contrarian trade.

traded lower lately because traders expected rates to go higher.