Merck Calls Jump; Stocks Edge Higher

As earnings continue to roll in, stocks are generally higher Monday, with
drug stocks and semiconductors leading the way. Retailers and oil services are
the weakest sectors of the session.

At mid-day, the VIX is up .44 to 21.83.

The OEX July 800 puts are down 1 3/4 to 12 1/2.

Among bigger movers on heavier-than-average volume:

Merck
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is up 6 3/16 to 69 15/16 to lead a resurgent drug sector. The
Merck August 70 calls are up 1 13/16 to 2 1/2 on triple the average volume.

JDS Uniphase
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is up 3 1/2 to 138 5/16 ahead of its addition to the
S&P 500 on Wednesday. The JDSU August 170 calls are up 1 to 5 5/8 on nearly
3000 contracts.

Texas Instruments
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is up 2 11/16 to 66 3/16 to help pace the
strong-performing chip sector. The Texas Instruments October 65 calls are up 1
3/4 to 9 on more than 5000 contracts, which is six times the average volume.

Dell Computer
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is off 2 7/32 to 50 3/16 on concerns over
potentially slowing PC sales. The Dell August 50 puts are up 5/8 to 2 1/8 on
nearly 5000 contracts.