By David Russell, reporter at OptionMonster
NEW YORK -- The transportation sector has been strong all year, and Thursday traders hit the road with Con-Way (CNW).
OptionMonster's tracking systems detected the purchase of some 3,400 June 37.50 calls, with most of the large blocks priced for 95 cents to $1.15. This is fresh buying, as open interest in the strike was just 113 contracts before the session began.
These calls lock in the price where shares can be purchased in the Michigan-based trucking company. That produces inexpensive exposure to a continued rally while limiting the amount of capital at risk should they drop.CNW rose 1.02% to $36.62 after being up more than 4% at one point in the session. The calls pushed as high as $1.70 during that time, which demonstrates the kind of leverage that can result from even a modest gain. Con-Way began this month by falling with a weak earnings report but quickly found support at $32 and rebounded. Total option volume was 100 times greater than average in the name Thursday, with calls accounting for 96% of the total. Russell has no positions in CNW.