12.8 Index options Option contracts are on 100X the index The most popular underlying indices are the s&P 100(American)OEX the s&P 500(European) SPX the Major Market Index(XMD Contracts are settled in cash Options, Futures, and Other Derivatives, 4th edition@ 2000 by John C. Hull Tang Yincai, C 2003, Shanghai Normal UniversityOptions, Futures, and Other Derivatives, 4th edition © 2000 by John C. Hull Tang Yincai, © 2003, Shanghai Normal University 12.8 Index Options • Option contracts are on 100× the index • The most popular underlying indices are the S&P 100 (American) OEX the S&P 500 (European) SPX the Major Market Index (XMI) • Contracts are settled in cash