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Latest trade, Adding to the nether...>

US TSY OPTIONS
US TSY OPTIONS: Latest trade, Adding to the nether end of Dec 5Y risk/high-yld
insurance 
* buyer of some 45,000 FVZ 109 puts at cab-7. Open interest in the Dec 5y 108,
108.25 and 108.5 puts all between 40-45k coming into the session. THat said,
it's highly unlikely these sub-cab options are being bought to hedge risk of a
move in 5Y yld before December to around 3.80%. More likely risk manager
mandated to cover off-balance sheet risk or collateral management, one desk
adds: "cheaper to buy the put than to post cash for margin."

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