Schaeffer's Daily Market Blog Features Integrated Device Technology, Viacom, Legg Mason, Citigroup, and AMEX Diamonds Trust.

CINCINNATI -- Among the stocks featured in the June 24 edition of Schaeffer's Market Blog are Integrated Device Technology (NASDAQ:IDTI), Viacom (NYSE:VIA-B), Legg Mason (NYSE:LM), Citigroup (NYSE:C), and AMEX Diamonds Trust (AMEX:DIA). Schaeffer's Market Blog is just one of the many free market commentaries written every day at www.SchaeffersResearch.com - the home of Bernie Schaeffer and Schaeffer's Investment Research. The Market Blog is written throughout every trading day by Schaeffer's financial analysts and traders. They are quick insights to the day's most notable market activity from an options perspective. For additional information about this report or to have it delivered to you free via email every day click on the following link. http://www.schaeffersresearch.com/redirect.aspx?CODE=PROB1M&PAGE=1 .

Schaeffer's Market Blog for Friday, June 24, 2005:

Below are just a few of today's Market Blog entries. Click here to read all of today's Market Blog. http://www.schaeffersresearch.com/redirect.aspx?CODE=PROB1C&PAGE=1 .

11:15 AM Heavy Out-of-the-Money Call Activity on Integrated Device Technology

Semiconductor firm Integrated Device Technology (NASDAQ:IDTI) has the most active option in early trading on the Pacific Exchange. Its out-of-the-money August 12.50 call (ITQ HT) has traded 6,000 contracts, all of which have crossed on the Pacific. Two 2,985-contract trades went off at 10:18 a.m. eastern time at 0.25 and 0.30. With a bid of 0.20 and an ask of 0.30, it looks like one of the trades was a purchase. The other one may have been as well. With open interest of 3,068, at least some of today's volume should translate to new open interest. IDTI is currently trading at 11.13, down 0.63 percent.

1:18 PM A Big Call Purchase on Viacom

Media and entertainment company Viacom (NYSE:VIA-B) is up just under one percent in midday trading due to positive comments from a major brokerage firm. Bear Stearns analyst Ray Katz reiterated his "outperform" rating and $47 price target for the shares. VIA-B is trading at 32.87. The news was subsequently followed by significant call volume at the August 35 call (VMB HG). Nearly 16,000 VMB HG contracts have traded. The bulk of the volume came in one 14,500-contract trade that executed at 11:03 a.m. eastern time. The trade went off closer to the ask price at 0.40, suggesting the trade was a purchase. The total dollar amount of the trade (excluding any commissions) is $580,000. The trade will be profitable at expiration if VIA-B is trading above 35.40, about eight percent higher than today's level.

1:18 PM Legg Mason and Citigroup Announce Asset Swap 

Shares of Legg Mason (NYSE:LM) are trading sharply higher and Citigroup (NYSE:C) stock is trading fractionally higher after the companies announced an asset swap valued at $3.7 billion this morning. C will give LM nearly all of its asset-management business in exchange for LM's brokerage network and its stock.

Although the two are both financial concerns, their stock performances have been drastically different. C has been largely range bound since January 2004, with the majority of its price action contained within the 44.00 to 50.00 price range. On the other hand, LM has been in a pronounced uptrend since October 2004. In fact, over the past year LM has tacked on more than 40-percent. Despite its strong performance, there are signs of modest skepticism in its sentiment backdrop. As a result of the combination of its strong price action and pessimistic sentiment backdrop, LM receives a strong rating of 8.0 on our proprietary Schaeffer's Equity Scorecard.

1:42 PM Are Diamonds an Investors Best Friend?

Investors have been quick to protect to the downside using AMEX Diamonds Trust (AMEX:DIA) put options today. The DIA is an exchange traded fund that tracks the Dow Jones Industrial Average. The most active contract on the day has been the DIA July 102 put. The 102 strike for DIA corresponds with 10,200 on the Dow. With the index currently at 10,347, these puts are still well out of the money. It's difficult to know whether or not these are being driven by speculators expecting further downside in the Dow, or if the activity is driven by investors trying to protect their portfolios through hedging.

The above are just a few of today's Daily Market Blog entries. Click here to read all of today's Daily Market Blog. http://www.schaeffersresearch.com/redirect.aspx?CODE=PROB1C&PAGE=1 .

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About Schaeffer's Investment Research (www.SchaeffersResearch.com)

Schaeffer's Investment Research, founded by Bernie Schaeffer in 1981, is a financial information and trading resources company. It publishes Bernie Schaeffer's Option Advisor, the nation's leading options subscription newsletter. The firm's contrarian approach focuses on stocks with technical and fundamental trends that run counter to investor expectations. The firm's website, http://www.SchaeffersResearch.com , is recognized as one of the leading information sources for stock and options traders and was cited as the top options website by both Forbes and Barron's. Click here for more details about Schaeffer's trading methodology: http://www.SchaeffersResearch.com/method .