The US derivatives regulator is examining the impact on markets of extremely short-dated options contracts after analysts warned the booming trend could be contributing to wild swings in stock prices.
Rostin Behnam, chair of the Commodity Futures Trading Commission, on Wednesday said the agency was assessing the potential risks or systemic issues that could arise from so-called zero-day trading strategies, which have surged in popularity since the start of the coronavirus pandemic.
Zero-day options refer to contracts that expire on the same day they are purchased and are mainly tied to the S&P 500 index. About 45 per cent of S&P 500 options volume on a typical day comes from on single-day options, according to Bank of America.
您已閱讀21%（735字），剩余79%（2725字）包含更多重要信息，訂閱以繼續探索完整內容，并享受更多專屬服務。