Put Traders Pounce on Bank Stock

Options bears are blasting the equity

Deputy Editor
Mar 24, 2023 at 10:19 AM
facebook X logo linkedin

Shares of German lender Deutsche Bank AG (NYSE:DB) are 6.6% lower this morning, after a spike in credit default swaps increased worries about the European baking sector's stability. Credit default swaps, or the cost of insuring the bank's debt against the risk of default, hit more than four-year highs.

Today's drop has DB trading just above $9, or their lowest level since October. A confluence of long- and short-term moving averages are weighing on Deutsche Bank stock, as it heads for its third-straight weekly loss. Year-to-date, the equity is down 16.2%.

Put traders are jumping in on the action, with 22,000 bearish bets crossing the tape already today -- 13 times the average intraday amount. The most popular contract is the April 9 put, while new positions are being opened at the weekly 3/24 9-strike put.

This preference for bearish bets is nothing new. At the International Securities Exchange (ISE), Cboe Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX), Deutsche Bank stock sports a 10-day put/call volume ratio of 12.72, which ranks higher than 87% of readings from the past year, showing puts outpacing calls and being picked up at a faster-than-usual rate. 


Target Effortless Triple-Digit Gains Every Sunday Evening For Life!

This is your chance to triple your profit potential on Sunday evenings, without spending all your free time watching the market.

On Sundays, as a Weekend Plus subscriber, you’ll get up to 6 trades every Sunday, each targeting gains of 200% or more.

Start targeting gains like the ones our subscribers have seen recently, including:

213.3% GAIN on AutoNation calls
100.0% GAIN on Monster Beverage calls
100.4% GAIN on Walgreens Boots Alliance puts
100.4% GAIN on ON Semiconductor calls
257.7% GAIN on Dell calls

101.0% GAIN on Apollo Global Management calls
103.6% GAIN on JP Morgan  Chase calls
105.3% GAIN on DraftKings calls
101.3% GAIN on Airbnb calls
203.0% GAIN on Shopify calls
102.0% GAIN on Cboe Global Markets calls
100.9% GAIN on Boeing calls
102.1% GAIN on Microsoft puts
102.3% GAIN on First Solar calls
101.5% GAIN on PulteGroup calls
101.0% GAIN on Apple calls
209.4% GAIN on NXP Semiconductors calls
100.8% GAIN on Uber Technologies calls
100.4% GAIN on Academy Sports and Outdoors puts
102.2% GAIN on Trade Desk calls
100.8% GAIN on DoorDash calls
100.0% GAIN on Camping World Holdings puts
100.0% GAIN on Cboe Global Markets calls
100.2% GAIN on C3.ai calls
238.5% GAIN on Oracle calls



Rainmaker Ads CGI