Updated
Updated · CNBC · Jun 8
SMH Draws $217 Million in Options as Traders Buy Puts, Back Marvell, Intel and Cerebras
Updated
Updated · CNBC · Jun 8

SMH Draws $217 Million in Options as Traders Buy Puts, Back Marvell, Intel and Cerebras

3 articles · Updated · CNBC · Jun 8

Summary

  • $217 million in SMH options changed hands Monday morning, with put volume more than double calls and over 10% of premium concentrated in Aug. 21 550 puts.
  • That strike sits about 7% below current levels, signaling traders doubt the semiconductor ETF's more than 5% rebound will hold after recent sector swings.
  • Marvell bucked the broader caution: calls outnumbered puts 3-to-1 and captured more than 80% of premium after its planned June 22 entry into the S&P 500.
  • Intel also drew bullish flow, with options volume running at nearly twice its daily average after a report Alphabet commissioned 3 million AI chips; more than 70% of contracts were calls.
  • Cerebras joined the risk-on pockets with more than $50 million in premium, almost all in calls, underscoring a market hedging the chip group while chasing single-name winners.

Insights

Why are traders betting on single stocks while shorting the entire chip sector?
Will a 'software crisis' decide the real winners of the AI chip race?
Is the AI chip boom on a collision course with a global energy crisis?