MOST NOTEWORTHY: GMX Resources, Glacier Bancorp and Brown and Brown were today's noteworthy initiations:

• Jefferies initiated GMX Resources (NASDAQ: GMXR) with a Buy rating and $40 target and believes the company's valuation discount to its NAV will narrow as management refocuses its efforts on its base Cotton Valley development program.
  
• Glacier Bancorp (NASDAQ: GBCI) was assumed with a Neutral rating and $20 target at B. Riley, as they think bank multiples are unlikely to rise much further, given the ongoing problems in the housing market and continued deterioration in credit quality.
  
• Brown and Brown (NYSE: BRO) was initiated with a Buy rating and $23 at Suntrust. The firm believes softness in the insurance market is now reflected in valuation.

OTHER INITIATIONS:

• Stephens assumed Online Resources (NASDAQ: ORCC) with an Overweight rating and $13 target.
  
• W.R. Berkley (NYSE: BER) was initiated with a Market Perform rating and $34 target at Keefe Bruyette.
  
• Morgan Keegan initiated Finisar (NASDAQ: FNSR) with an Outperform rating.

Note: The Daily Option Update is provided by Options Specialist Paul Foster of theflyonthewall.com.

U.S. stocks closed higher as interest rates were stable on higher energy prices. The Dow Jones rallied to another, new, all-time record. The Dow gained 0.87%, NASDAQ 100 rose 1.00%, S&P 500 rose 0.95%, and 10-year bond rate is at 4.5950%. The CBOE VIX was dropped -0.30 to 9.88. The VIX traded down to 9.64 - a 13-year low - this morning.

Worthington's Implied Volatility & Volume Spike Suggests Price Fluctuations

Worthington (NYSE: WOR], a diversified metal processing company, closed up $2.02 to $20.32. WOR has a market cap of $1.7B with long term debt of $245M. WOR reported 2006 revenue of $2.8B. Prudential said "recently Ispat [NYSE: MT] has made public statements indicating an interest in owning steel distribution assets in the USA." WOR call option volume of 10,852 contracts compares to put volume of 5,811 contracts. WOR January option implied volatility of 51 is above its 26-week average of 37 according to Track Data, suggesting larger price fluctuations.

GMX Resources' Puts Vvolume & Implied Volatility Increases On Sell-off

GMX Resources (NYSE:GMXR), an independent natural gas producer headquartered in Oklahoma City, Oklahoma, closed down -$2.80 to $41.85. GMXR call option volume of 1,625 contracts compares to put volume of 2,568 contracts. GMXR January option implied volatility of 67 is above its 26-week average of 61 according to Track Data, suggesting larger price risks.

Option volume leaders Thursday were Advanced Micro (NYSE: AMD), Research in Motion (NYSE: RIMM), Citigroup (NYSE: C) and Microsoft (NYSE: MSFT).