On the other hand, the RWX is an International Real Estate ETF.  The index is designed to measure the performance of publicly traded real estate securities in developed and emerging countries excluding the United States.

Of the 114 holdings in the ETF, 15% of the fund is invested in international regional malls. This is exactly the business that GGP is in, except domestically. While the location of these malls may seem important, statistically however, the market does not seem to care. One can infer this from the similar price action the two securities have had…as measured by the correlation coefficient.

In recent trade, the coefficient has backed off its near perfect levels. One may infer that managers have been dumping the ETF because of the 250%+ jump in volume from its average. These manages have been in the same yield search game that lead stocks like PG and CLX to all time highs. The RWX may be oversold because folks just like to play sectors now and not individual stocks…hence the spread displayed in the chart. The RWX may be oversold and GGP may still have room to fall…until the two cross paths again.

salerno.mark.a@gmail.com

Paper bought 6,875 IRM Jun 37.5 Calls for $0.35 (2.1 times usual volume) with stock at $35.65
Paper bought 1,413 LINTA Jan 22 Calls for $2.10 (6.2 times usual volume) with stock at $22.55
Paper bought 1,722 TWC Oct 115 Calls for $0.35 (2.9 times usual volume) with stock at $94.34
Paper bought 2,462 TWO Sep 12 Calls for $0.225 (2.8 times usual volume) with stock at $10.87
Paper bought 545 WBMD Jul 30 Calls for $1.45 (2.6 times usual volume) with stock at $29.79

Fifty-five patients were registered in the Phase one study at seven different dosage levels. The results showed that AP26113 is something that will have to be tolerated by its consumers. The most common side effects included fatigue (40% experienced) and nausea (36% experienced). Some major events that occurred in multiple patients were: phenomena, cough, dyspnea (shortness of breath), hypoxia (oxygen deprived to body), and pleural effusion (fluid around the lungs). There were two other patients, one that developed a liver enzyme, and another who had to be taken out of the study due to hypoxia and dyspnea. In another case, one patient experienced hypoxia and dyspnea simultaneously and ended up dying.

Due to the, not-so-great news that was presented at the meeting, many were left questioning the company. With many other companies developing similar drugs to cure the same thing, some have been jumping on their bandwagons and off Ariad Pharmaceuticals’, leaving the company with not to stellar stock performances lately. Even though the drug has high hopes and potential of curing the disease, the patients would have to go through another Phase of testing, and possibly even another after that. Additionally many large-scale studies have shown that some types of patients are better off with less treatment and giving doctors confidence to hold off on certain drugs. This idea of “less is more” was the focal point of ASCO’s annual meeting and released many abstracts on the new clinical treatments, such as the ones provided by Ariad. One of the large, long-term studies showed that men with testicular cancer were better off not taking any of the drugs and instead going with surgery.

ASCO’s incoming president said by opting out of certain therapies and drugs, patients tend to live longer and happier lives. It was statements like these at the meeting that killed the profits for Ariad, and made their idea of having a Phase two much less popular.

One trade thinks there is more downside in ARIA and when the stock was trading $16.92, they bought 818 ARIA Aug 15 Puts for $.80. Lets break this down. A trader has the right, but not obligation to sell stock at $15 between now and August and he is paying $80 for that right to sell 100 shares at $15. If the stock ends up above $15 then the most he can lose is the amount he paid for the options. Further breakdown of this trade:

Risk: $80 per 1 lot

Potential Reward: $1420 per 1 lot

Cash Outlay: $65,440

Greeks of this Trade:

Delta: Short

Gamma: Long

Theta: Short

Vega: Long