Options market participants are significantly increasing their option purchases in anticipation of Scott Bessent’s upcoming trip to Switzerland, where he is scheduled to engage in high-level discussions with Chinese officials aimed at potentially easing long-standing trade barriers between the two nations.
Today, a large bullish options trade hit the tape for SPY May 12, 2025 $573 Calls (expiring days after Bessent’s scheduled trip to Switzerland), with buyers spending over $672.3K in premiums on nearly 8,000 contracts. The volume-to-open-interest ratio of 8.4 strongly suggests fresh positioning, likely institutional, aiming to capture continued upside in the market. The use of a sweep order and a strike price above spot further imply speculative or directional intent rather than hedging.
This trade reflects aggressive, fresh bullish speculation on SPY, with significant size and urgency, likely from institutional players betting on a notable move higher by mid-May 2025. The high volume relative to open interest and the use of a sweep order make this an unusual and potentially impactful flow to watch.
