Shares of technology companies fell slightly as the expiration of options contracts appeared to spur volatility in some of the stocks most widely linked to the derivatives contracts.
Similar signals are coming from options indicators such as the CBOE volatility index, or VIX, as came during an options-related bout of tech-stock volatility in September, said Quincy Krosby, chief market strategist at Prudential Financial.
"What happens is the broker dealers that sold you the call, they go long the underlying stock so that pushes it up even more," said Ms Krosby.
Shares of Apple fell, finishing the week more or less flat after a mixed reception for its latest iPhone.
Amazon.com followed a similar pattern despite staging a "Prime Day" sale that was widely viewed as a hit.
Shares of Peloton, a maker of home-fitness equipment that's been among the biggest gainers in recent months, declined even as another wave of coronavirus outbreaks spread across the U.S. Joshua Calloway, a retail options trader in Chicago, said he had recently added to his position on Zoom Video Communications, another stock that has seen sharp gains during the coronavirus pandemic.
Write to Rob Curran at rob.curran@dowjones.com
(END) Dow Jones Newswires
10-16-20 1709ET
