The new futures contracts to be listed are:
Non-Dollar Cross-Rates | British Pound/Swiss Franc (BP/SF) |
Euro FX/Australian Dollar (EC/AD) | British Pound/Japanese Yen (BP/JY) |
Euro FX /Canadian Dollar (EC/CD) | Canadian Dollar/Japanese Yen (CD/JY) |
Euro FX/Swedish Krona (EC/SKr) | Swiss Franc/Japanese Yen (SF/JY) |
Euro FX/Norwegian Krone (EC/NKr) | |
Australian Dollar/Canadian Dollar (AD/CD) | U.S. Dollar-Based Contracts |
Australian Dollar/New Zealand Dollar (AD/NE) | U.S. Dollar/Swedish Krona (USD/SKr) |
Australian Dollar/Japanese Yen (AD/JY) | U.S. Dollar/Norwegian Krone (USD/NKr) |
"CME's innovation in foreign exchange three decades ago paved the way for the first financial futures products, and by listing these thirteen additional foreign exchange contracts we will expand our suite of foreign exchange products to better serve a global customer base," said CME Chairman Scott Gordon.
"CME has seen increased foreign exchange volume executed both electronically and on our trading floor last year as a result of offering side-by-side electronic trading of our existing FX product line," said CME President and CEO Jim McNulty. "By offering these 13 new cross-rates with a choice of execution facility, we will provide customers with the flexibility they need to manage foreign exchange price risk or capture trading opportunities."
CME currently lists three Euro-based cross rates-on the British pound, Japanese yen and Swiss franc. The products trade virtually around the clock on CME's GLOBEX platform and may be traded via open outcry as AON transactions, with a five-lot minimum. In addition, CME trades the following U.S. dollar based foreign exchange products: Australian dollar, Brazilian real, British pound, Canadian dollar, Euro FX, E-mini Euro FX, Japanese yen, E-mini Japanese yen, Mexican peso, New Zealand dollar, Russian ruble, South African rand and Swiss franc.
Highlights of the new cross rate contracts' proposed specifications appear in the following table:
Product | Contract Size | Tick Size | |
USD-Based | |||
Swedish Krona | 2,000,000 SKr (193,600 USD) | .00001 USD/SKr (=$20/contract) | |
Norwegian Krone | 2,000,000 NKr (227,000 USD) | .00001 USD/NKr (=$20/contract) | |
Euro-Based | |||
EC/AD | 125,000 Euro | .0001 AD/Euro (=12.5 AD/contract) (~$6.51/contract) | |
EC/CD | 125,000 Euro | .0001 CD/Euro (=12.5 CD/contract) (~$7.87/contract) | |
EC/SKr | 125,000 Euro | .0005 SKr/Euro (=62.5 SKr/contract) (~$6.05/contract) | |
EC/NKr | 125,000 Euro | .0005 NKr/Euro (=62.5 NKr/contract) (~$7.09/contract) | |
Non-Dollar Based | |||
CD/JY | 200,000 CD | .01 JY/CD (=2,000 JY/contract) (~$15.13/contract) | |
AD/CD | 200,000 AD | .0001 CD/AD (=20 CD/contract) (~$12.60/contract) | |
AD/NE | 200,000 AD | .0001 NZD/AD (=20 NZD/contract) (~$8.51/contract) | |
AD/JY | 200,000 AD | .01 JY/AD (=2,000 JY/contract) (~$15.13/contract) | |
BP/SF | 125,000 BP | .0001 SF/BP (=12.5 SF/contract) (~$7.39/contract) | |
BP/JY | 125,000 BP | .01 JY/BP (=1,250 JY/contract) (~$9.46/contract) | |
SF/JY | 250,000 SF | .005 JY/SF (=1,250 JY/contract) (~$9.46/contract) | |
Chicago Mercantile Exchange Inc. (www.cme.com) is the largest futures exchange in the United States and the second largest exchange in the world for the trading of futures and options on futures. As an international marketplace, CME brings together buyers and sellers on its trading floors and GLOBEX around-the-clock electronic trading platform. CME offers futures contracts and options on futures primarily in four product areas: interest rates, stock indexes, foreign exchange and commodities. The exchange moves about $1.5 billion per day in settlement payments and manages $28.2 billion in collateral deposits. CME is a wholly owned subsidiary of Chicago Mercantile Exchange Holdings Inc.
