Alphabet and Microsoft Options Traders Bet Big as Nasdaq Approaches All-Time Highs

Options traders are betting big on Alphabet and Microsoft as the Nasdaq approaches all-time highs. On Wednesday, options volume in both stocks was more than 50% above the 30-day average after economic data showed a softer inflation print.

Alphabet's trading was particularly one-sided, with total call volume more than double put-trading. Among the top 20 transactions by dollar-amount, 14 were bullish and two bearish in Alphabet. The biggest purchase was for in-the-money 250-strike calls expiring next June in GOOGL.

In Microsoft, traders likely bought more than 130,000 calls, compared to fewer than 52,000 puts. One possible speculative trade stood out: someone spent $12 million buying 3,000 in-the-money 500-strike calls and lowering their cost by selling about $2 million of 600-strikes expiring the same day.