Hong Kong Futures Exchange: Optimisation measures to narrow the exercise price intervals of "Weekly Index Options" will take effect from July 27th.

On July 20, the Hong Kong Futures Exchange issued a notice stating that the Securities and Futures Commission of Hong Kong had approved measures to narrow the exercise price interval, which will take effect on July 27 (next Monday). On June 25, the Hong Kong Futures Exchange issued a notice regarding the narrowing of exercise price intervals for weekly Hang Seng Index options, weekly China Enterprise Index options, and weekly Hang Seng Tech Index options (collectively referred to as "Weekly Index Options"). According to the notice, the Hong Kong Futures Exchange plans to narrow the exercise price intervals for the "Weekly Index Options". Under the new arrangement, the narrowed exercise price intervals will apply to all weekly options contracts, while the existing exercise price intervals will continue to apply to monthly stock options and index options. According to the contract specifications of the Weekly Index Options, if the expiry date of the weekly contract coincides with the expiry date of the current month contract, the weekly expiry contract will not be listed. In this case, the monthly contract will continue to use the wider exercise price intervals listed in the monthly contract specifications. In this case, only exercise prices based on the wider intervals will be available for trading. The Hong Kong Futures Exchange reminds participants to ensure that their trading and back-office systems are ready to ensure smooth operation when the above optimization measures are implemented. At the same time, the staff of exchange participants should handle the buying and selling of relevant weekly index options and provide advice to clients with caution.