A large trader apparently believes that Northstar Realty Finance will hold firm through the end of the year.
optionMONSTER's tracking systems detected the sale of 17,000 December 18 puts for $0.75 at the same second yesterday. This is clearly a new position, as open interest in the strike was a mere 153 contracts before the trade appeared.
The put seller is looking for NRF to stay above $18 through expiration in mid-December. If it falls below that strike price, the trader will be on the hook to buy shares at that level. (See our Education section)
NRF was up 1.89 percent yesterday to close at $18.86. The real-estate investment trust gapped up from the $17 level after reporting earnings on Aug. 7 and has been grinding higher since.
Yesterday's put sale made up 85 percent of the overall option volume in Northstar. That total was nearly 10 times its daily average for the last month.
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