Options Activity: Large bet placed against Corporate Bonds

There was some very large and unusual buying of June Puts in Corporate Bond ETF iShares IBOXX $ Invest Grade Corp Bd Fd LQD

This reflects a bet on notable weakness in the corporate bond market in the first half of 2016.

$LQD SHARPS POUND THE OFFER IN JUNE PUTS TODAY, OVER 9X NORMAL VOL: 18,416 Jun16 $110 PUTS 96% ASK (IV=10.0% +0.1) pic.twitter.com/dtNfZpilwb

— JE$US (@WallStJesus) December 30, 2015

Only time will tell if this bet works out or not, but it's something to eye as we head into 2016.