Protection Purchased in the XHB

Shares of the SPDR SERIES TRUST HOMEBUILDERS ETF (NYSE: XHB) are off 2.45% to $17.89 today. The ETF is now trading right on top of the 50-day moving average and is still holding onto bull territory as of today.

Protection was purchased in the ETF earlier in the day though, with the June $17 put purchased over 15,000 times today; open interest on the strike is 17,089 contracts. This may suggest that a large trader is looking to hedge their long position in the ETF or that an out-and-out bearish bet has been placed.

The SPDR SERIES TRUST HOMEBUILDERS ETF seeks to replicate, net of expenses, the S&P Homebuilders Select Industry Index. The fund will invest at least 80% of assets in securities that comprise the index.