The ISE will go into index options market after middle of this year. Any one knows which products they will offer? Will OEX be one of the first? Can we expect the bid/ask spread of OEX and DJX, etc to narrow significantly?
Speaking of the ISE, do you know that they topped the CBOE in total volume a couple of days last week?
My understanding was that ISE was number one in stock options. But if you include index options, CBOE is still at the top. Are you saying ISE is number one for total now? Wow!
It is not just OEX. Yesterday, I write some options at the bid price. I had to cancel the order to force the market makers to fill it.
In the May issue of Stocks Futures and Option (http://www.sfomag.com), ISE's David Krell said they were going in the index option business but didn't say which products. It's too bad if OEX is exclusive for CBOE.
From Futures & Options week .... "ISE tops daily volumes" "ISE has taken daily leads as the number one US options exchange by volume for the first time.... ISE beat nearest rival and long-time top-dog CBOE on at least five of the last eight trading days in April.... ISE had previously taken over CBOE as top-volume exchange for equity options, but CBOE's index option listings had kept the Chicago exchange ahead on overall volume. ..." The article went on to state that the ISE executives declined to comment on details of the index products at this stage.