Near-Term Call Buying in Chevron (CVX) Targets Upside in Shares Amid Anadarko Petroleum (APC), Occidental Petroleum (OXY) Deal Talks -Susquehanna
Susquehanna options strategist Alison Edwards highlights near-term call buying activity in Chevron (NYSE: CVX), as investors bought this week’s May3 122 Calls and next week’s May10 122 Calls, ~4k each. Investor seem to think there’s increased upside potential, likely related to reports that Anadarko Petroleum Corp. (NYSE: APC) will resume talks with Occidental Petroleum Corp. (NYSE: OXY).
This morning, Occidental Petroleum announced Berkshire Hathaway Inc. (NYSE: BRK-A) (NYSE: BRK-B) has committed to invest a total of $10 billion in Occidental. The investment is contingent upon Occidental entering into and completing its proposed acquisition of Anadarko.