Optimistic Options Traders Foresee Significant Gains For iShares MSCI Brazil ETF By September Expiration

Options traders made huge bets on Brazil, taking the iShares MSCI Brazil ETF EWZ slightly lower on Thursday.

On CNBC’s "Options Action," Mike Khouw of Optimize Advisors said the iShares MSCI Brazil ETF was always one of the busier ones and was also the 9th busiest ETF option on Thursday. Calls traded well above the average volume during the session.

Don’t forget to check out our premarket coverage here

There was a buyer of 2,000 of 18,000 September 34/39-call spreads at an average price of 57 cents per contract, Khouw said.

The trader expects the iShares MSCI Brazil ETF to surge 18% to 34% by September expiration.

Meta Platforms, Inc. META CEO, Mark Zuckerberg, recently disclosed that the company is rolling out WhatsApp Payments in Brazil.

Price Action: Shares of EWZ fell 0.2% to settle at $29.32 on Thursday.

Check This Out: Wall Street's Most Accurate Analysts Say Hold These 3 Industrials Stocks Delivering High-Dividend Yields