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Derivatives

Strike Price

The pre-agreed price at which an option can be exercised.

In depth

For a call, strike is the buy price; for a put, strike is the sell price. "In-the-money" (ITM): strike is favorable to current price. "Out-of-the-money" (OTM): strike is unfavorable. "At-the-money" (ATM): strike near current price.

Frequently asked about Strike Price

What is Strike Price?

The pre-agreed price at which an option can be exercised. For a call, strike is the buy price; for a put, strike is the sell price. "In-the-money" (ITM): strike is favorable to current price. "Out-of-the-money" (OTM): strike is unfavorable. "At-the-money" (ATM): strike near current price.

Why does Strike Price matter for investors?

In derivatives, Strike Price is one of the building blocks investors use to compare opportunities and assess risk. Understanding it helps you read research notes, earnings reports, and market commentary without getting lost in jargon.

How is Strike Price used in practice?

For a call, strike is the buy price; for a put, strike is the sell price. "In-the-money" (ITM): strike is favorable to current price.

Recent news mentioning Strike Price

Israel strikes Beirut for first time since November ceasefire with Hezbollah

The Quick Take * Israel struck Beirut's southern suburbs on Wednesday, first attack since ceasefire with Hezbollah last month * Strike reportedly targeted a commander of Hezbollah's elite Radwan force; Israeli media report commander killed * PM Netanyahu and Defence Minister Katz issued joint statement announcing the action; no IDF or Hezbollah confirmation * Ceasefire durability now in question; markets monitoring for broader Middle East escalation risk * Asia-Pacific markets, including H

May 10, 2026

Wall Street slips, oil surges 3% on reports of Iran strike on US Navy vessel

The Quick Take * Oil prices initially spiked 5% on reports of an Iranian strike on a US Navy vessel near Strait of Hormuz * S&P 500 futures fell 0.2%, Dow futures dropped 0.5%, Nasdaq futures dipped 0.1% pre-market * Oil pared gains to 2–3% after US military reportedly denied the strike occurred * Conflicting reports leave geopolitical risk premium elevated; further clarification from US military is key * Asia-Pacific markets and energy importers like Japan, South Korea, and India face hei

May 7, 2026

WTI Crude Surges 3%+ as Iran Strikes UAE, Hormuz Closure Fears Mount

The Quick Take * WTI crude oil surges more than 3% after Iran launches attacks on the United Arab Emirates * CNN sources in Dubai reportedly expect US and Israel strikes on Iran within 24 hours of publication * Strait of Hormuz closure risk is cited as a key driver of supply disruption fears * Escalation trajectory points to potential wider regional conflict within days, keeping oil elevated * Global energy import-dependent economies — including India, Japan, and South Korea — face acute i

May 7, 2026

UAE Air Defenses Intercept 6th Missile Threat; Iran Drone Strike Hits Fujairah Oil Zone

The Quick Take * UAE air defense systems reportedly responding to a sixth missile threat as of May 4, 2026 * Earlier Iranian drone strikes ignited a major fire at the Fujairah Oil Industries Zone (FOZ) in Fujairah, UAE * UAE's NCEMA issued public safety alert urging citizens to shelter in place and monitor official channels * Escalation trajectory suggests sustained missile/drone campaign; further interceptions or strikes likely imminent * Fujairah is a critical oil export hub near the Str

May 7, 2026

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