Did options traders know that a downgrade of General Electric was coming? Maybe not, but the trading indicated that many market watchers thought something was up, according to Jon Najarian, co-founder of OptionMonster.com.
Option trades in Goldman Sachs have also been high, he said on CNBC's "Squawk Box," based on unconfirmed rumors about the firm last week. In addition, he said options on Lehman Bros. and AIG have also been active.
See his full interview here.