June’s job numbers have been released, painting a picture of America’s economic landscape. Employers added 206,000 jobs in the previous month, showcasing resilience despite higher interest rates. While the unemployment rate rose to 4.1%, the highest since October 2021, the implications for interest rates remain uncertain.
As normal trading hours resume after the Fourth of July break, investors are seeking insight into unusual options activity from Wednesday’s market play.
Opportunities in Risky Bets
Unity Software (U) emerges as a noteworthy candidate, despite facing challenges in 2024 with a 60% year-to-date stock decline. An intriguing management reshuffle occurred, with Matt Bromberg taking the CEO reins in May. The gaming industry veteran brings a wealth of experience, hinting at a potential turnaround.
For those interested in a bold move, selling the Sept. 20 $33 put could offer an enticing opportunity, with a bid price of $16.85 at Wednesday’s close. However, caution is advised as volatility could amplify potential gains or losses exponentially.
Ford’s Resurgence and Potential Path
Ford (F) is showing signs of a revival, aiming to bridge the performance gap with industry giant General Motors (GM). Market observers speculate on Ford’s promising trajectory, with capital allocation strategies favoring special dividends. Selling the $13.82 put presents a viable option, especially with Ford’s recent positive momentum.
Critical Decisions Amid Market Activity
Visa (V) and U.S. Steel (X) present contrasting options, with Visa strongly positioned for long-term growth. Guidance leans towards Visa’s $285 put as an attractive choice, despite recent price fluctuations. A calculated risk may yield significant rewards, considering Visa’s historical performance.