Ward Parkinson, founder of Micron Technology and a CME Board member, will join CME Chairman Scott Gordon and CME President and CEO Jim McNulty to ring the opening bell.
The E-mini lean hog contracts are sized at 10,000 pounds, or one-quarter of the CME's standard-sized 40,000-pound contract. The E-mini version of the contracts will be "fungible" with the standard-sized contracts, allowing traders to offset E-mini lean hogs with an equivalent quantity of larger contracts at a ratio of 4:1.
The minimum price increment for E-mini lean hogs will be $0.10 per hundredweight, equal to $10 per contract, and the daily price limit will be $2.00 ($200 per contract) except on the last two days of trading when the limit will be $3.00. The E-mini lean hog contracts will be cash settled at the contract's expiration date to the CME Lean Hog IndexTM.
The CME first created its "E-mini" concept in September 1997 with the introduction of the E-mini S&P 500 futures and options contracts. The E-mini S&P 500 futures and E-mini Nasdaq100 futures contracts, introduced last summer, are the fastest growing products in the history of the exchange. The CME also trades several E-mini foreign currency products.
The CME will launch the E-mini lean hog contracts on July 25 at 10:00 a.m. Normal trading hours will be from 9:10 a.m. until 1:00 p.m. (Central Time), corresponding to trading hours of the standard sized lean hog contracts.
