The zero-day options mania reached new heights in 2024, sending broader options trading toward an all-time high.
New data from SpotGamma shows the explosive growth in this market. Around half of all trading in Nvidia and Tesla options, some of the most popular trades, has been concentrated in bets expiring within five days, according to the data provider. The share of S&P 500 index options expiring the very same day jumped to a high this year.
The surge in these trades, boom-and-bust bets that expire in just hours or days, is at the heart of a rise in compulsive gambling in financial markets.
