Nymex To Narrow Strike Price Increments In Fourth, Fifth, And Sixth Months Of Gold Options

The New York Mercantile Exchange, Inc., will expand the number of gold options trading months with narrower strike price increments from the first three trading months to the first six months, beginning tomorrow.

When the price of the underlying gold futures contract is $500 per ounce or less, as it is currently, strike prices will be listed $5 apart. When the price is higher than that but $1,000 or less, the strike prices will be $10 apart and, if the price is more than $1,000, the strike prices will be $25 apart.

All further months will continue to to have the following strike price increments listed: $10 apart when the underlying gold futures price is $500 or less; $20 apart if the price is from $501 to $1,000; and $50 apart if the price is more than $1,000.