Mike Khouw Sees Unusual Options Activity In VIX

On CNBC's "Options Action," Mike Khouw said puts outpaced calls in VIX on Monday by almost 2 to 1. Volume was above average.

The most active options were the December 20 puts, on the December VIX futures contract. At one point around 43,000 contracts crossed the table, said Khouw. Ultimately, over 48,000 contracts were traded. Buyers of these puts are betting the December VIX futures contract could decline and the worst is behind us.