STEVE INSKEEP, host: Now let's look at that unsolicited bid, which is a big deal because it's Murdoch, because it's a gigantic national newspaper, and because the offer is so high.</s>STEVE INSKEEP, host: Late Tuesday, the current owners, the Bancroft family, said they would oppose this offer from News Corp., but that is not necessarily the final word. There were a number of immediate consequences on the offer, including speculators who apparently got the news ahead of time and tried to profit from it.</s>STEVE INSKEEP, host: NPR's Scott Horsley reports.</s>SCOTT HORSLEY: Trading in Dow Jones options is ordinarily a fairly sleepy business, with just a few hundred contracts bought and sold each day. But interest in the company's options soared last Wednesday, and again on Monday, when buyers snapped up at least seven times the average number for the month.</s>SCOTT HORSLEY: The people buying those options were essentially betting that Dow Jones' stock price would increase dramatically. Jon Najarian of optionmonster.com says that's just what happened when News Corp.'s bid became known.</s>Mr. JON NAJARIAN (Optionmonster.com): I don't believe that there are coincidences on Wall Street. Somebody along the food chain saw there was going to be a bid substantially above the market price for Dow Jones, so $100,000 investment became worth 5 or $8 million depending how you do the math.</s>SCOTT HORSLEY: The Securities and Exchange Commission typically monitors such activity for signs of insider trading. Dow Jones' controlling family has said they will reject the News Corp. offer. But Najarian guesses the speculators have already made their money.</s>SCOTT HORSLEY: Scott Horsley, NPR News.
Trading in Dow Jones & Co. options spiked on April 25 and again on Monday. Buyers were betting that Dow Jones' stock price would increase dramatically, and that's what happened when News Corp.'s bid became known.