Q2 2022 Options Newsletter

Options in Q1 2022 was the fourth highest quarterly ADV on record

Q1 options market highlights:

  • It was a record quarter for Equity Index options, with 1.19 M ADV in Q1 2022
  • Agriculture options achieved a record Q1 in 2022, with 321k ADV, 9% above the previous record Q1 in 2021
  • Interest Rate options were up 24% in ADV in Q1 of 2022 compared to Q1 2021 and was 0.39% higher than Q1 of 2019
  • Record quarter for APAC options, with 1.85 M ADV in Q1 2022

Source: CME Group

Review CME Group options resources: 


Now trading: Micro Ether and Micro Bitcoin options

Options on Micro Bitcoin and Micro Ether futures are now available to trade, offering traders more ways to manage their exposure to the top cryptocurrencies by market capitalization and to optimize their crypto trading strategies.

Building on the strength and liquidity of Micro Bitcoin and Micro Ether futures, these options contracts enable market participants to efficiently hedge market-moving events with greater precision and flexibility, enabling traders of all sizes to access crypto market exposure.


Now live: E-mini S&P 500 Tuesday and Thursday (European-style) options

To provide greater flexibility for managing short-term exposure to the leading U.S. equity benchmark, CME Group will introduce E-mini S&P 500 Tuesday and Thursday options starting on April 25, pending regulatory approval. These new contracts complement the existing Weekly, End-of-Month (EOM) options, as well as Quarterly options on E-mini S&P 500 futures. 


Coming soon: European Hot-Rolled Coil Steel (Argus) options

An options contract for North European Hot-Rolled Coil (HRC) Steel futures will launch on May 2, pending regulatory approval. With price volatility and uncertainty across the global steel supply chain, there's been a growing demand to help clients more precisely manage their risk. 


Launching soon: Monday and Wednesday Weekly Gold, Silver and Copper options

The new options contracts for Monday and Wednesday Weekly Gold, Silver and Copper will be available for trading starting May 2, pending regulatory approval. These contracts will complement CME Group's existing Friday Weekly, End-of-Month and Quarterly options on Gold, Silver and Copper futures. 

On-demand webinar: CME SOFR First for Options

Following extensive validation with market participants and receiving near unanimous support, CME Group will launch a market-wide effort to accelerate adoption and liquidity in SOFR options during the months of June and July. Access this webinar to learn more about this initiative.


CVOL indicative histories extended to eight years

The CME Group Volatility Index (CVOL) now provides eight years of indicative histories rather than three, providing more statistically relevant analysis and back-testing. Access the full list of extended products through the tool. 


Case study: Hedging new crop exposure in corn before March USDA

Access a new case study on Short-Dated New Crop (SDNC) options to learn how these options allow for targeted hedging surrounding USDA events.


March 2022 Agriculture Options Review

Ag options had a record Q1 as the market looks to manage risk in uncertain times. Short-Dated New Crop and Calendar Spread options have particularly become very active given spread dynamics along the futures curve.


Excell with Options: Delta hedging and gamma scalping using Micro Bitcoin options

In the April 5 issue, Rich Excell examines the trade-off of delta hedging profits, known as gamma scalping, versus time decay using Micro Bitcoin options to illustrate.

Options Spotlight Tool: Event Volatility Calculator

See how markets price upcoming economic and geopolitical events through the lens of options on futures forward volatility through the Event Volatility Calculator.