Long-Term Treasury ETF Call Volume Jumps to Six-Month High
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Trading of bullish options on an exchange-traded fund tracking long-term Treasuries jumped to the highest level since September after a single block trade that profits if bond prices increase, driving yields lower.
The block of 45,000 June $101 calls to buy the iShares Barclays 20+ Year Treasury Bond Fund traded at the ask price and exceeded the prior open interest of 764 contracts, indicating a buyer who expects the ETF to rally initiated the transaction. Total call trading volume for the fund, which rose 0.1 percent to $92.29 at 4 p.m. New York time, was 65,687 contracts, or quadruple the four-week average.