Cadbury PLC (CBY) closed at $53.37. Cadbury, the world's second largest confectioner, rejected Kraft's (KFT) buyout bid on Nov. 9. CBY December option implied volatility is at 26, March is at 23, versus its 26-week average of 29, according to Track Data, suggesting decreasing price movement.

ishares NASDAQ Biotechnology Index (IBB) closed at $78.41. IBB December and January call volatility is at 19, puts are at 22, versus its 26-week average of 23, according to Track Data, suggesting non-directional price movement.

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

Kraft Foods (NYSE: KFT) is expected to report Q3 EPS on November 3. KFT's $16.7 billion bid for Cadbury PLC (NYSE: CBY) was rejected by CBY in September. KFT faces a November 9 deadline set by the U.K. Takeover Panel to make a formal offer for CBY. KFT November option implied volatility is at 25, December is at 24; versus its 26-week average of 25, according to Track Data, suggesting non-directional price movement.

iShares Trust FTSE/Xinhua China 25 Fund (NYSE: FXI) is recently up $1.30 to $43 in pre-open trading. FXI is an index fund that seeks investment results that correspond generally to the price and yield performance of the FTSE/Xinhua China 25 Index. FXI overall option implied volatility of 38 is near its 26-week average according to Track Data, suggesting non-directional price movement.

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

Cadbury PLC (NYSE: CBY) rejected Kraft (NYSE: KFT) $16.7B for CBY on September 7. CBY over all option implied volatility of 27 is below its 26-week average of 33, according to Track Data, suggesting decreasing price movement.

MSCI Emerging Markets Index (NYSE: EEM) is recently closed at $39.28. EEM October option implied volatility is at 31, November is at 33; below its 26-week average of 39, according to Track Data, suggesting decreasing price movement.

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

Hershey (NYSE: HSY) closed at $40.49 Wednesday. Cadbury PLC (NYSE: CBY), the world's second largest confectioner, rejected Kraft (NYSE: KFT) $16.7 billion for CBY on September 7, which has led analysts to speculate about additional merger possibilities.

HSY September and October option implied volatility is at 27 is near its 26-week average of 29. HSY options were active on September 9th with volume of 52,364 contracts according to Track Data.

ISE Sentiment Index - ISEE closed at 127 on 9/9/09. ISEE 10-day moving average is 114.

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