NYMEX Holdings-(NYSE-NMX) volatility Flat as Arbs consider Chicago Mercantile Exchange (NYSE: CME) and Intercontinental Exchange (NYSE: ICE) positions after CBOT Holdings (NYSE: BOT). NMX -- an energy and metals marketplace -- has a market cap of $11.58 billion. Arbitrageurs are aware if the CME's bid for the BOT or ICE's bid for BOT does not go through, NMX could be vulnerable to a bid from the losing bidder. NMX overall option implied volatility of 33 is near its 22-week average of 31 according to Track Data, suggesting non-directional risk.

BHP Billiton-(NYSE-BHP) option implied volatility suggests Flat Risk. BHP, the world's largest mining company, has a market cap of $153 billion, is recently up $1.36 to $52.11. BHP has been frequently mentioned during the last 17-months as having an interest in doing a deal with Freeport McMoRan Copper & Gold Inc. (NYSE-FCX), Alcan Inc. (NYSE: AL) and Alcoa Inc. (NYSE: AA). Prudential has an Underweight rating on BHP. BHP overall option implied volatility of 32 is near its 26-week average according to Track Data, suggesting non-directional price fluctuations.

Option volume leaders today are: Amazon.com Inc. (NASDAQ-AMZN), Kraft Foods (NYSE-KFT) and Freeport McMoRan Copper & Gold Inc. (NYSE-FCX).

Daily Option Update is provided by Stock Options Specialist Paul Foster of theflyonthewall.com.