In a story on CBOE Optons Hub story from earlier this week, Marty Kearney wrote about the upcoming third quarter Extended Trading Hours?(ETH) for options on the?S&P 500?Index complex (SPX, SPXW, SPXQ, SPXPM) and on the CBOE S&P 500 Volatility Index (VIX). This is contingent upon the completion of?system enhancements and approval by the Securities and Exchange Commission (SEC) for requisite rules, as noted by Kearney. ?He also referenced?Regulatory Circular # RG14-018, 2.13.14 for a more thorough explanation.?
Here’s the details as shared by Kearney:?
- The ETH is all-electronic and there will be no order book interaction between the two sessions (i.e. orders and/or quotes placed in one will not carry over to the other).
- ETH session hours will go from 3:30 p.m. to 4:15 p.m. CST and 2:00 a.m. to 8:15 a.m. CST Monday through Friday. On Friday, there will not be a 3:30 p.m. to 4:15 p.m. trading period. Note: These hours are similar to VIX Futures’s extended hours.?
- The start of the ETH session will represent the next trading day, such as a 4:00 p.m. Tuesday, during extended hours will be considered a Wednesday trade.
- All series and expirations available during regular trading hours will be available in ETH.
- The Automated Improvement Mechanism (AIM), Complex Order Book (COB) and Complex Order Auction (COA) will be active during ETH.
- ETH session contracts will be fully fungible with existing contracts and will continue to be cleared by the Options Clearing Corporation (OCC).
- The ETH session will disseminate market data though the Options Price Reporting Authority (OPRA).