Zero-Day Options Are Most Popular on S&P 500 as Dominance Grows
- 0DTE contracts made up 51% of S&P Index’s options volume in Q4
- Cboe made S&P 500 options with daily expiries available in ‘22
Zero-day options on the S&P 500 Index surpassed all other expirations combined in the fourth quarter for the first time ever, the latest milestone to mark the growing dominance of the short-term contracts.
Trading in options expiring the same day averaged more than 1.5 million contracts a day in the last three months of 2024, accounting for 51% of the overall S&P 500 Index options volume, according to Cboe Global Markets Inc. data compiled by Asym 500, triple the amount from the same period in 2021. At that time, so-called 0DTE volume was less than half of the later-dated options.