Institutional investors are already positioning for further strength in the discretionary sector ahead, reports Amanda Diaz for CNBC.
“There’s been some strong institutional order flow,” Andrew Keene, founder of Keene on the Market, said on CNBC, referring to activity in XLY. “We saw an institution targeting those June 80-strike calls.”
There were 50,000 June 80-strike calls bought for 37 cents each, which comes in at about a $1.8 million bet that XLY would trade above $80.37, a new all-time high, by the June expiration. XLY is currently hovering around $76.3.
Consumer Discretionary Select Sector SPDR
For more information on the consumer sector, visit our consumer discretionary category.
Max Chen contributed to this article.