CBOT Introduces Market Maker Programs For Options On Two-Year U.S. Treasury Note Futures - Six Electronic Market Makers To Participate

The Chicago Board of Trade (CBOT) announced yesterday that it has launched two new market maker programs that are designed to support the trading of options on CBOT's Two-Year U.S. Treasury Note futures.

Under the new electronic market marker (EMM) program, participating market makers are expected to provide continuous two-sided quotes and respond to requests-for-quote for options on CBOT's Two-Year U.S. Treasury Note futures traded on its electronic trading platform. The participants in the EMM program currently include Capstone Fixed Income, LLC; Citigroup Corporate and Investment Banking; Consolidated Trading LLC; DRW Investments, LLC; Nico Trading, Inc.; and Optiver US, LLC. The EMM program is effective daily from 7:00 a.m. to 2:00 p.m., Chicago time.

In addition to the EMM program, the CBOT is also launching a new primary market marker (PMM) program for options on CBOT's Two-Year U.S. Treasury Note futures traded on its open auction platform. The participants in the PMM program currently are Citigroup Corporate & Investment Banking and DRW Investments, LLC.? The PMM program is effective daily from 7:20 a.m. to 2:00 p.m., Chicago time.

CBOT Senior Vice President of Business Development Robert Ray said, "The market maker programs are designed to develop liquidity and foster additional growth for our Two-Year U.S. Treasury Note complex.? Overall, we believe that these market maker programs will enable CBOT to expand its leadership position in the trading of fixed income options."