One trader is positioning for more potential losses in American International Group.
A block of 5,000 December 50 puts was purchased for the ask price of $0.89 this morning, optionMONSTER systems show. Open interest in the strike was just 92 contracts before the trade appeared, so it is clearly a new position.
The puts aren’t tied to any trading in the underlying shares identified by our scanners today. This could either be an outright bearish bet or a hedge to protect an existing long-stock position.
— Option Monster