Option traders were clearly not set-up for a more than 30% surge in shares of Kraft (Ticker: KRFT) following a deal to merge the company with Heinz (Ticker: HNZ) to create The Kraft Heinz Co. On Tuesday, shares in Kraft closed at $61.33.
Two brothers agreed to pay $5 million to resolve U.S. Securities and Exchange Commission claims that they used confidential information to make options trades ahead of an announced deal to buy H.J. Heinz Co.
U.S. stocks were little changed, after erasing earlier losses, as a drop in jobless claims and Warren Buffett’s deal for H.J. Heinz Co. tempered concern over shrinking economies in Europe and Japan.
