- What Natural Gas Weekly options contracts are available to help clients manage short-term risk in the energy market?
- How are these products different from other listed Natural Gas Friday Weekly options?
- What are the contract specifications?
- How many contracts are listed at a given time?
- What are the trading hours on Globex and submission hours on ClearPort?
- Are these options eligible for block trading?
- What are the fees for the Natural Gas Weekly options contracts?
- What are the exercise procedures for these contracts?
1. What Natural Gas Weekly options contracts are available to help clients manage short-term risk in the energy market?
Henry Hub Natural Gas Weekly options are available for trading on Globex and for submission of clearing via ClearPort every day of the trading week.
Building on record-breaking Henry Hub Natural Gas options volume in 2024, Monday through Thursday expirations are now available alongside Friday Henry Hub Weekly options for trading on Globex and for submission of clearing via ClearPort. These new expirations round out our suite of the most liquid Natural Gas Weekly and Monthly options market. They are designed to meet the demand from customers for additional tools to express views on the natural gas market and hedge rapid price risk related to market-moving events.
2. How are these products different from other listed Natural Gas Friday Weekly options?
These new Weekly expirations have the same contract specifications and exercise procedures as the current Natural Gas Friday Weekly options but expire on Monday, Tuesday, Wednesday and Thursday.
3. What are the contract specifications?
| NATURAL GAS OPTIONS | HENRY HUB NATURAL GAS WEEKLY OPTIONS | |||||
|---|---|---|---|---|---|---|
| NEW MONDAY | NEW TUESDAY | NEW WEDNESDAY | NEW THURSDAY | FRIDAY | ||
| CONTRACT SIZE | 10,000 MMBtu | 10,000 MMBtu | 10,000 MMBtu | 10,000 MMBtu | 10,000 MMBtu | 10,000 MMBtu |
| BLOCK MINIMUM STRIKE INCREMENT | 0.0001 per MMBtu | 0.0001 per MMBtu | 0.0001 per MMBtu | 0.0001 per MMBtu | 0.0001 per MMBtu | 0.0001 per MMBtu |
| BLOCK DOLLAR VALUE OF ONE TICK | $1 per contract | $1 per contract | $1 per contract | $1 per contract | $1 per contract | $1 per contract |
| SCREEN MINIMUM TICK INCREMENT | 0.001 per MMBtu | 0.001 per MMBtu | 0.001 per MMBtu | 0.001 per MMBtu | 0.001 per MMBtu | 0.001 per MMBtu |
| SCREEN DOLLAR VALUE OF ONE TICK | $10 per contract | $10 per contract | $10 per contract | $10 per contract | $10 per contract | $10 per contract |
| PRODUCT CODE | LN | HN1-HN5 | IN1 -IN5 | JN1-JN5 | KN1-KN5 | LN1 - LN5 |
| SETTLEMENT | Financial | Financial | Financial | Financial | Financial | Financial |
| TRADING HOURS | CME Globex: Sunday – Friday: 5:00 p.m. to 4:00 p.m. Central Time (CT) Monday – Friday: 60-minute daily trading halt beginning at 4:00 p.m. CT | |||||
| LISTING EXCHANGE | NYMEX | |||||
Full contract specs are available here.
4. How many contracts are listed at a given time?
The next four Weekly options are listed at any one time. No Weekly option contract will be listed on Exchange holidays. Similar to the currently listed Natural Gas Friday Weekly options, if one of the new Weekly options expires on the same day as the monthly Natural Gas (LN) options contract, the Weekly option will exercise into the second nearby listed underlying futures contract month.
5. What are the trading hours on Globex and submission hours on ClearPort?
Sunday – Friday 6:00 p.m. to 5:00 p.m. Eastern Time (ET) with a trading halt from 5:00 p.m. to 6:00 p.m. ET. Please view our holiday and trading hours.
6. Are these options eligible for block trading?
Yes, all Henry Hub Natural Gas Weekly options are eligible for block trading. The minimum block threshold is 10 contracts. All block trading is subject to Rule 526.
7. What are the fees for the Natural Gas Weekly options contracts?
Natural Gas Weekly options are part of the NYMEX fee schedule.
8. What are the exercise procedures for these contracts?
Henry Hub Natural Gas Weekly options are financially settled, which can only be exercised on expiration day.
Have more questions? Connect with an expert
All examples in this report are hypothetical interpretations of situations and are used for explanation purposes only. The views in this report reflect solely those of the author and not necessarily those of CME Group or its affiliated institutions. This report and the information herein should not be considered investment advice or the results of actual market experience.
