Additionally, new open interest records were set in options exchange-wide at 7,745,315 and in interest rate products at 11,999,326.
Eurodollars are time deposits denominated in U.S. dollars held outside of the United States and have been a benchmark interest rate in corporate funding for decades. The Eurodollar futures contract represents an interest rate on a three-month deposit of 1 million U.S. dollars. Open interest is the number of futures and options contracts outstanding at the close of trading each day. Open interest can be seen as a measure of the use of risk management instruments by institutions and individuals with a long-term stake in the markets, as well as the liquidity of a contract.
As of June 30, Eurodollar futures, introduced in 1981, represented the world's most actively traded futures contracts. Eurodollar options were launched in 1985. Also traded in the interest rate complex are contracts based on One-Month LIBOR, Euroyen and Treasury bills.
Chicago Mercantile Exchange Inc. (www.cme.com) is an international marketplace that brings together buyers and sellers on its trading floors and GLOBEX®2 around-the-clock electronic trading system. CME offers futures contracts and options on futures primarily in four product areas: interest rates, stock indexes, foreign exchange and commodities. On Nov. 13, 2000, CME finalized its transformation into a for-profit, shareholder-owned corporation as it became the first U.S. financial exchange to demutualize by converting its membership interests into shares of common stock that can trade separately from exchange trading privileges. The exchange moves about $1.5 billion per day in settlement payments and manages $28.4 billion in collateral deposits.
