This has been a challenging week for managing our open Perpetual Income positions. We held off making any adjustments until we saw the CPI numbers yesterday. Today, some of our positions are trading lower, limiting our ability to roll or adjust for credits.

We don’t like to wait until the end of the week to make these adjustments, but if we get a flat or slightly higher market tomorrow, we will be able to better manage our positions then. Look for several alerts tomorrow morning.

Meanwhile, we can re-enter our Southern Co. position today.

BUY/WRITE
Southern Co. (SO): 74.51

Our utility stock, Southern Co. goes ex-dividend tomorrow, May 12, paying a 0.70 dividend. Let’s purchase the stock today and sell a covered call to earn the dividend.

ACTION: Open a SO 26 May 75 buy/write for a net debit of around 73.89

Buy SO stock TODAY at around 74.51
Sell to open SO 26 May 75 call for a net credit of around 0.60 to 0.65