- Trading Screen Product Name
- Crude Futures
- Trading Screen Hub Name
- Midland WTI 1st Line
- Contract Symbol
HOO
- Hedge Instrument
The delta hedge for the Midland WTI American Gulf Coast Average
Price Option is the Midland WTI American Gulf Coast 1st Line Future
(HOO).
- Contract Size
1,000 barrels
- Unit of Trading
Any multiple of 1,000 barrels
- Currency
US Dollars and cents
- Trading Price Quotation
One cent ($0.01) per barrel
- Settlement Price Quotation
One tenth of one cent ($0.001) per barrel
- Minimum Price Fluctuation
One tenth of one cent ($0.001) per barrel
- Last Trading Day
Last Trading Day of the contract month
- Option Style
Options are Asian-style and will be automatically exercised on the
expiry day if they are “in the money”. The swap future
resulting from exercise immediately goes to cash settlement
relieving market participants of the need to concern themselves
with liquidation or exercise issues. If an option is “out of
the money” it will expire automatically. It is not permitted
to exercise the option on any other day or in any other
circumstances than the Last Trading Day. No manual exercise is
permitted.
- Expiry
19:30 London Time (14:30 EST).
Automatic exercise settings are pre-set to exercise contracts which
are one minimum price fluctuation or more 'in the money' with
reference to the relevant reference price. Members cannot override
automatic exercise settings or manually enter exercise instructions
for this contract.
The reference price will be a price in USD and cents per barrel
equal to the average of the settlement prices for the ICE Midland
WTI American Gulf Coast 1st Line Future for the contract month.
- Option Premium / Daily Margin
Due to equity-style margining the premium on ICE Midland WTI
American Gulf Coast Average Price Option 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.
- Strike Price Intervals
Minimum $0.50 increment strike prices. $1.00 Strikes from $20 to
$240. $0.50 strikes 20 strikes above and below ATM. The “at
the money” strike price is the closes interval nearest to the
previous business day’s settlement price of the underlying
contract.
- Contract Series
Up to 72 consecutive months, or as otherwise determined by the
Exchange
- Final Payment Date
Two Clearing House Business Days following the Last Trading Day
- Business Days
US business days.
- MIC Code
- IFED
- Clearing Venues
- ICEU