From CNBC: 2025-04-14 14:04:00

Intraday stock gyrations have investors on edge post-“liberation day,” with zero-day-to-expiration options surging in popularity. Trading volume of 0DTE options tied to the S&P 500 hit 8.5 million in April, accounting for 7% of total U.S. option market volume, fueling concerns of market volatility amplification.

Volatility spiked as Trump imposed tariffs and reversed policies, causing the S&P 500 to post its third-largest gain since WWII. Dow Jones fell 1,500 points on consecutive days for the first time ever. S&P 500 intraday volatility reached levels not seen since the 2008 financial crisis, driving demand for 0DTE options.

Retail investors are increasingly using zero-day-to-expiration options, with platforms like Robinhood making them more accessible. These options allow investors to hedge risk or speculate on market movements. Intraday activity and volatility have been driven by the rising popularity of these short-lived contracts in the market.

Read more: Zero-day options are fueling the unprecedented volatility on Wall Street amid tariff chaos