Oil’s Rally Through $100 Sparks Payday in Options Markets
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Oil’s rally through $100 a barrel has brought millions of dollars worth of oil options into the money.
In total there are about 75 million barrels worth of call options at $100 for May, as well as $95 and $100 for June. Those contracts have surged in value as they would now mostly pay out at expiry with outright prices up between $7 and $8 on the day. There are also about 12 million barrels of April WTI $100 calls.