With the launch of E-mini S&P MidCap 400 futures, CME will round out its offering of E-mini stock index products to provide coverage for the spectrum of large-cap, mid-cap and small-cap stocks. E-mini Russell 2000 futures, launched Oct 24, 2001, provide risk management and asset allocation in small capitalization stocks. Earlier this week, E-mini Russell 2000 futures set an open interest record of 3,659 positions on Jan. 22. E-mini S&P 500 futures have traded on CME since 1997, and E-mini Nasdaq-100 futures were introduced in 1999; they are the fastest growing products in the history of the exchange.
Sized at one-fifth the standard-size S&P MidCap 400 futures contracts, E-mini S&P MidCap 400 futures will have a contract size of $100 times the S&P MidCap 400 index price. The contracts will be traded on CME's GLOBEX® electronic trading platform. Like CME's other E-mini index products, the new contracts will also be "fungible" with the standard contracts in that positions in the smaller contract may be offset against an opposite equivalent dollar value of standard-size S&P MidCap 400 futures.
CME will list for trading two contract months in the March quarterly cycle. The "tick" size or minimum price fluctuation will be 0.10 index points, equivalent to $10.00, or for calendar spreads, 0.05 index points, equivalent to $5.00. The S&P MidCap 400 index is a benchmark for middle capitalization stocks with market capitalization of between $1 billion and $5 billion, depending on market conditions [Additional information on the S&P MidCap 400 index can be found at www.spglobal.com.]
