They're Falling Asleep In The Options Pits

The equity options business is stuck in a rut. Despite record stock prices and booming trading volume, the action in the nation's stock options exchanges has dropped dramatically in recent months, exacerbating a malaise that has endured since the 1987 stock market crash. Average daily trading volume in the Standard & Poor's 100-stock index, the most widely traded stock-index option, has averaged only 228,384 contracts since May, down from 272,121 last year and 48% below 1987's precrash levels.

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