Toyota (TM), Sony (SNE) Get Defensive Trades After Quake

Investors took defensive measures in regard to Japan-based Toyota (NYSE:TM) and Sony (NYSE:SNE), as concerns over the impact on the two companies as to possibly being shut down for an extended period of time hit the stocks.

Trade Alert said that there close to 30,000 puts and 9,068 calls traded in the MSCI Japan Index ETF (EWJ.P) on Friday, far above its average daily combined volume of 12,000 contracts.

Jon Najarian of optionMonster.com said, "Traders are primarily buying put options, perhaps as a hedge against existing long stock positions in case of a prolonged shutdown in their automotive and parts production facilities in Japan."

Option traders traded a total of 8,433 contracts in Toyota with puts outpacing calls by almost two to one, according to Trade Alert data.

Toyota closed Friday at $85.65, dropping $1.87, or 2.14 percent. Sony closed at $33.45, down $0.81, or 2.36 percent.