Schaeffer's Midday Options Update Features Barrick Gold, Wal-Mart Stores, Sirius Satellite Radio, Goldman Sachs, and Martha Stewart Living Omnimedia.

CINCINNATI -- First graph, first sentence, ticker symbol for Martha Stewart Living Omnimedia should be (NYSE:MSO) (sted (NYSE:GS)).

The corrected release reads:

SCHAEFFER'S MIDDAY OPTIONS UPDATE FEATURES BARRICK GOLD, WAL-MART STORES, SIRIUS SATELLITE RADIO, GOLDMAN SACHS, AND MARTHA STEWART LIVING OMNIMEDIA

Today's Schaeffer's Midday Options Update features Barrick Gold (NYSE:ABX), Wal-Mart Stores (NYSE:WMT), Sirius Satellite Radio (NASDAQ:SIRI), Goldman Sachs (NYSE:GS), and Martha Stewart Living Omnimedia (NYSE:MSO). The Midday Options Update contains a brief commentary on the day's most notable activity and a table listing the most-active calls and puts for the day. The Midday Options Update is published every day at www.SchaeffersResearch.com - the home of Bernie Schaeffer and Schaeffer's Investment Research. 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=PRMOU12M&PAGE=1 .

Options Update: Calls Active on Barrick Gold

With dipping consumer confidence numbers and Wal-Mart Stores (NYSE:WMT) citing rising gas prices for weak May same-store sales, the major market indices are suffering today. In fact, the Dow Jones Industrial Average is down more than 100 points following a return to trading after the Memorial Day holiday weekend.

In economic news, U.S. consumer confidence slipped in May after hitting almost a four-year high in April. The Conference Board reported that the consumer confidence index fell to 103.2 in May from a revised 109.8 in April. Economists had expected the index to slip to 100.7 from the initial reading of 109.6 in April. The present situation index fell to 132.5 from 136.2. The expectations index fell to 83.7 from 92.3, its lowest level since October.

Up Against a Wal

WMT has dropped more than two percent so far today after reporting a May same-store sales increase of 2.3 percent. This report falls at the low end of the company's original forecast. An analyst at Citigroup noted that WMT "continues to see higher gasoline and utility prices impacting its customers, as discussed during its first-quarter earnings call. As a result, the company has seen more pronounced paycheck cycles."

A Goldman Goes to Washington?

President Bush has nominated Henry Paulson, chief executive officer of Goldman Sachs (NYSE:GS), to be Treasury Secretary, replacing John Snow. Bush said Paulson would be his top economic adviser and would be the public face of his economic policies. U.S. Treasury Secretary John Snow said he was leaving with a "great sense of satisfaction" and that he'd leave his post after "an orderly transition period" for his successor. "Now with the economy so clearly on a good path, it is time for me to step down as the Secretary of the Treasury," Snow said in a resignation letter to President Bush. As a result, shares of GS have pulled back nearly two percent on the prospect of Paulson abdicating the reins of the company.

Sirius Concerns

Shares of Sirius Satellite Radio (NASDAQ:SIRI) have vaulted nearly seven percent higher today after Lehman Brothers upgraded the equity to "overweight" from "equal weight." The brokerage firm stated that while SIRI has traded lower in sympathy with XM Satellite Radio Holdings (XMSR), it doesn't believe the move was justified. Elsewhere, CBS Corp. (CBS) reported that SIRI has agreed to pay $2 million as part of a settlement of a breach-of-contract lawsuit. The lawsuit was filed against the satellite-radio company and Howard Stern.

Martha, Martha, Martha

Despite doing her time for a conviction on lying about the sale of her ImClone Systems (IMCL) stock, the founder of Martha Stewart Living Omnimedia (NYSE:MSO) said she will fight civil insider-trading charges brought by the Securities and Exchange Commission. Stewart issued the statement in response to an SEC complaint filed Thursday in a U.S. district court. The complaint seeks to bar Stewart from working as a director of a public company.

Most-Active Options Update

At 2:10 p.m. Eastern Time, the Dow Jones Industrial Average (DJIA - 11,154.9) has plunged 1.09 percent. The S&P 500 Index (SPX - 1,267.27) has retreated 1.01 percent, while the Nasdaq Composite (COMP - 2,180.1) has plummeted 1.37 percent. At 2:11 p.m. Eastern Time, 2,406,516 calls have changed hands compared to 1,847,826, equaling a single-day put/call volume ratio of 0.76. The CBOE's equity put/call volume ratio weighed in at 0.76.

Barrick Gold

Barrick Gold (NYSE:ABX) is the focus of some heavy call trading today, with nearly 17,000 contracts crossing the tape at its June 30 strike. However, with open interest numbering more than 55,000 contracts, we shall have to wait until tomorrow to see if any of this volume translates into new positions.

Overall, options players have displayed a preference for calls on this gold-mining company. The equity's Schaeffer's put/call open interest ratio (SOIR) checks in at 0.47, as calls more than double puts among near-term options. This reading is also lower than 78 percent of all those taken during the past year. In other words, speculators have been more bullishly aligned toward the equity only 22 percent of the time during the past 12 months.

Wall Street is similarly smitten with the shares. According to Zacks, nine of the 14 analysts following ABX rate it a "buy" or better.

Meanwhile, short sellers are flocking back to the security in an attempt to call a top to the stock's rally. In May, short interest jumped 16 percent to 17.6 million shares. However, with a short-interest ratio of only 3.2 days to cover, the equity is still a little light on potential short-covering support.

Technically speaking, the equity is currently battling resistance at its declining 10-day moving average. Yet, ABX remains in a long-term uptrend along the steadfast support of its 10-month and 20-month moving average. In fact, the stock has not suffered a single monthly finish below both of these trendlines since March 2003.

Click here to see a Monthly Chart of ABX Since July 2002 With 10-Month and 20-Month Moving Averages: http://www.schaeffersresearch.com/wire?ID=16110 .

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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 .