ENERGY CONTRACTS

Crude oil | Gasoline | Heating Oil | Natural Gas

Heating Oil Contracts | Overview | Quote-board

FUTURES

OPTIONS

Trading Unit 42,000 U.S. gallons (1,000 barrels). Price Quotation U.S. dollars and cents per gallon. Trading Hours (All times are New York Time) Open outcry trading is conducted from 10:05 AM until 2:30 PM. After-hours futures trading is conducted via the NYMEX ACCESS® internet-based trading platform beginning at 3:15 PM on Mondays through Thursdays and concluding at 9:30 AM the following day. On Sundays, the session begins at 7:00 PM. Trading Months Trading is conducted in 18 consecutive months commencing with the next calendar month (for example, on January 6, 2004, trading occurs in all months from February 2004 through July 2005). Minimum Price Fluctuation $0.0001 (0.01¢) per gallon ($4.20 per contract). Maximum Daily Price Fluctuation $0.25 per gallon ($10,500 per contract) for all months. If any contract is traded, bid, or offered at the limit for five minutes, trading is halted for five minutes. When trading resumes, the limit is expanded by $0.25 per gallon in either direction. If another halt were triggered, the market would continue to be expanded by $0.25 per gallon in either direction after each successive five-minute trading halt. There will be no maximum price fluctuation limits during any one trading session. Last Trading Day Trading terminates at the close of business on the last business day of the month preceding the delivery month. Settlement Type Physical. Delivery F.O.B. seller's facility in New York harbor, ex-shore. All duties, entitlements, taxes, fees, and other charges paid. Requirements for seller's shore facility: capability to deliver into barges. Buyer may request delivery by truck, if available at the seller's facility, and pays a surcharge for truck delivery. Delivery may also be completed by pipeline, tanker, book transfer, or inter- or intra-facility transfer. Delivery must be made in accordance with applicable federal, state, and local licensing and tax laws. Delivery Period Deliveries may only be initiated the day after the fifth business day and must be completed before the last business day of the delivery month. Alternate Delivery Procedure (ADP) An alternate delivery procedure is available to buyers and sellers who have been matched by the Exchange subsequent to the termination of trading in the spot month contract. If buyer and seller agree to consummate delivery under terms different from those prescribed in the contract specifications, they may proceed on that basis after submitting a notice of their intention to the Exchange. Exchange of Futures for Physicals (EFP) The commercial buyer or seller may exchange a futures position for a physical position of equal quantity by submitting a notice to the Exchange. EFPs may be used to either initiate or liquidate a futures position. Grade and Quality Specifications Generally conforms to industry standards for fungible No. 2 heating oil. Inspection The buyer may request an inspection for grade and quality or quantity for all deliveries, but shall require a quantity inspection for a barge, tanker, or inter-facility transfer. If the buyer does not request a quantity inspection, the seller may request such inspection. The cost of the quantity inspection is shared equally by the buyer and seller. If the product meets grade and quality specifications, the cost of the quality inspection is shared jointly by the buyer and seller. If the product fails inspection, the cost is borne by the seller. Position Accountability Levels and Limits 7,000 contracts for all months combined, but not to exceed 1,000 in the last three days of trading in the spot month. Margin Requirements Margins are required for open futures positions. Trading Symbol HO

Trading Unit One NYMEX Division New York harbor heating oil futures contract. Price Quotation U.S. dollars and cents per gallon. Trading Hours (All times are New York Time) Open outcry trading is conducted from 10:05 AM until 2:30 PM. Trading Months Eighteen (18) consecutive months. Minimum Price Fluctuation $0.0001 (0.01¢) per gallon ($4.20 per contract). Maximum Daily Price Fluctuation No price limits. Last Trading Day Trading ends three business days before the underlying futures contract. Exercise of Options By a clearing member to the Exchange clearinghouse not later than 5:30 PM or 45 minutes after the underlying futures settlement price is posted, whichever is later, on any day up to and including the options expiration. Strike Prices Twenty strike prices in $0.01 (1¢) per gallon increments above and below the at-the-money strike price, and the next 10 strike prices in $0.05 (5¢) increments above the highest and below the lowest existing strike prices for a total of at least 61 strike prices. The at-the-money strike price is the nearest to the previous day's close of the underlying futures contract. Strike price boundaries are adjusted according to the futures price movements. Margin Requirements Margins are required for open short options positions. The margin requirement for an options purchaser will never exceed the premium. Trading Symbol OH

Back to top