Implied Volatility Alert: MRK, VIX
10/21/09
MRK volatility low into EPS and SGP merger
Merck (MRK) is recently down 43 cents to $33.24.
The company is scheduled to report Q3 EPS Oct. 22.
MRK's merger with Schering-Plough Corp. (SGP) is expected to close before year-end.
SGP shareholders will receive 0.5767 shares and $10.50 in cash for each share of SGP.
MRK November and January option implied volatility of 28 is below its 26-week average of 32, according to Track Data, suggesting decreasing price movement.
VIX near 14-month low
The CBOE Volatility Index (VIX) is recently down 64 cents to 20.26, near its 14-month low.
The S&P 500 (SPX) is recently up .28% to 1,092.5.
Posted at 2:30 p.m.
More Implied Volatility Alerts
Researcher Paul Foster has 23 years of professional experience in the capital markets, investments, trading, corporate finance, arbitrage, options, and mergers and acquisitions.
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