I purchased 1000 put options on SPY for $9,706 or $9.70 per contract. The strike price is $334 and expires in about 3 months. At the time I purchased this was ITM and SPY was selling at $334.
By market close, the price of SPY moved to $333.45.
I figured my put options would be more valuable with the move down, however I had a loss of $486.64. Each option now had a market value of $9.22.
How can this be? Also, at what price would SPY need to move down to start showing a gain?