Analyze the volatility across the term structure to manage risk going into a volatile winter trading season.
Calendar Spread options, or CSOs, are options on the spread between two futures contract months, rather than a single underlying contract month. Using CSOs in the volatile winter season provides a leveraged means of hedging against a change in the shape of a futures term.
CME Direct now offers new Directed Request-For-Quote (DRFQ) which revolutionizes the process for privately negotiated transactions, providing technology to optimize block trading in futures and options.
Contact us for any questions on trading Energy options at CME Group.