For inflation to take hold though, there must be underlying price pressure, namely from wages.
Strip out these one-offs, and the underlying price pressure in the euro zone is much lower and probably falling.
The underlying price structure of long-distance telephony has dropped 80% in two years, thanks to a bonanza in fiber-optic capacity.
"The fall in the core rate... might be the first real sign that the weakness of households' spending power is starting to bear down on underlying price pressures in the High Street, " said Jonathan Loynes of Capital Economics.
Implied volatility on the shares has remained elevated at 54.3%, against 36.8% historic deviation on the underlying share price.
In the options market, which last week predicted a precipitous decline for Bear Stearns (nyse: BSC - news - people ), Lehman puts (bets the underlying stock price will fall) were triple the number of calls (bets the stock will rise) traded Monday.
However, if the underlying is nearer the price of the lower strike on the written put then profits will expand at a faster rate as time passes.
One HOG-bull was prepared for the current rally in the price of the underlying stock.
Activity in NetApp LEAPS indicates one options player expects the price of the underlying to improve going forward.
Investors anticipating continued appreciation in the price of the underlying shares purchased longer-dated call options on the stock.
Investors expecting the price of the underlying to continue to pull back snapped up put options across multiple expiries.
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The price of the underlying is up roughly 5.0% year-to-date, and has gained nearly 30% since June of 2012.
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Options traders are piling into Clorox calls to buy into the rapid rise in the price of the underlying.
Fresh positioning in the front month calls suggests some traders expect the price of the underlying to extend gains.
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Despite the slight appreciation in the price of the underlying shares, bearish transactions dominated options activity on the fund.
As of Monday, the price of the underlying fund had fallen more than 21.0% in the most recent five weeks.
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It looks like the trader is positioning for the price of the underlying to pull back ahead of May expiration.
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The sharp drop in the price of the underlying may be just what some bearish strategists were hoping to see.
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That recommendation worked well, even though the price of their underlying common never rose high enough to make converting practical.
Traders positioning to profit from further weakness in the price of the underlying snapped up more than 1, 250 in-the-money puts at the Jun.
Indeed, it does seem many players populating Starwood options today are positioning for the price of the underlying to rally substantially by year end.
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Investors taking bullish rather than protective positions on the stock are hoping to see the price of the underlying jump ahead of June expiration.
The rules largely prevent health plans from skinnying down benefits or raising co-pays as a way to control the price of the underlying insurance.
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It looks like the trader is positioning for significant, albeit limited, downside movement in the price of the underlying by employing a ratio put spread.
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Before the smaller players drill, they must factor in such issues as their capital and lease costs, as well as the price of the underlying commodity.
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Traders positioning for continued gains in the price of the underlying snapped up weekly call options on MetLife this morning, driving fresh interest in several striking prices.
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Both the short strangle and the short straddle strategies employed on Pfizer today indicate investors expect volatility in the price of the underlying shares to decline going forward.
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The trader profits on the short stock if shares drop, while the long calls hedge potential bullish movement in the price of the underlying through expiration in March.
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But, the rebound in the price of the underlying stock today may not be a lasting trend according to some options players initiating bearish stances on Caterpillar today.
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An option on a futures contract is the right, but not the obligation, to buy or sell the underlying security at a particular price within a specific time.
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