Heating Oil American-Style Options5029407
ICE Futures Europe
Heating Oil American-Style Options
Description
The Heating Oil American-Style Options Contract is based on the underlying futures contract and if exercised will result in a corresponding futures position. Contracts are for American-Style exercise, allowing the buyer to exercise an option anytime up to expiry day.
Market Specifications
- Trading Screen Product Name
- Heating Oil Futures
- Trading Screen Hub Name
- NYH
- Hedge Instrument
- The delta hedge for the Heating Oil American-Style Option is the Heating Oil Future (UHO).
- Contract Symbol
- O
- Contract Size
- 1,000 barrels
- Unit of Trading
- Any multiple of 1,000 barrels
- Currency
- US Dollars and cents
- Trading Price
- One hundredth of a cent ($0.0001) per Gallon
- Settlement Price
- One hundredth of a cent ($0.0001) per Gallon
- Minimum Price Fluctuation
- One hundredth of a cent ($0.0001) per Gallon
- Last Trading Day
- Expiration occurs two days prior to the expiration of the underlying ICE Heating Oil Futures Contract.
- Fixed Price
- The traded price or the previous day's settlement price
- Floating Price
- In respect of daily settlement, the Floating Price will be determined by ICE using price data from a number of sources including spot, forward and derivative markets for both physical and financial products.
- Final Settlement
- The Heating Oil Futures Contract is cash settled against the prevailing market price for Heating Oil in New York Harbour. The cash settlement price in USD and cents per Gallon is equal to the penultimate settlement price for New York Harbor No.2 Heating Oil Futures Contract as made public by NYMEX for the month of production as specified within the relevant Contract Rules by reference to the 2005 ISDA Commodity Definitions.
- Option Style
- American style. Option exercise results in an underlying Futures Contract in the related contract month.
- Strike Price Increments
- This contract will support Custom Option Strikes with strikes in increments of $0.001 within a range of $0.500 to $10.000. This range may be revised from time to time according to future price movements. The at-the-money strike price is the closest interval nearest to the previous business day's settlement price of the underlying contract.
- Expiration Date
- ICE Heating Oil Options can be exercised into ICE Heating Oil Futures contracts. ICE Futures Europe options contracts are of American-style exercise, allowing the buyer to exercise call and/or put options up to 17:00 (London time) hours on any Business Day (except on expiry day) during the life of the contracts, by giving an exercise notice to ICE Clear Europe in respect of such options.
On expiry day, automatic exercise settings are pre-set to exercise call and put option contracts that are one minimum price fluctuation or more in-the-money and call option contracts which are at-the-money with reference to the corresponding daily settlement price at the designated settlement time as determined by the Exchange. At-the-money put options will be abandoned. - Option Premium / Daily Margin
- Due to equity-style margining the premium on ICE Heating Oil Options is paid/received on the day following the day of trade. Equity-Style Options have no daily Variation Margin payment. The premium on the Equity-style Options is paid/received on the business day following the day of trade. Net Liquidating Value (NLV) will be re-calculated each business day based on the relevant daily settlement prices. For buyers of options the NLV credit will be used to off-set their Original Margin (OM) requirement; for sellers of options, the NLV debit must be covered by cash or collateral in the same manner as OM requirement.
- Contract Series
- Up to 50 consecutive months
- Business Days
- ICE Business Days
- Linked Future
- Yes
- MIC Code
- IFEU
- Clearing Venues
- ICEU
Related Products
Codes
- Clearing Admin Name
- O-ICE Heating Oil
- Physical
- O
- Logical
- UHO
- GMI (FC)
- OM
- ION A.C.N.
- NF69
- Symbol Code
- UHO