CETES, or Certificados de la Tesoreria de la Federacion, are short-term discount bills issued by the Mexican government (United Mexican States) under the agency of Banco de Mexico, the country¡¦s central bank. They are the Mexican counterpart of U.S. Treasury Bills. TIIE, or Tasa de Interes Interbancario de Equilibrio, a short-term interest rate determined and published since March 1996 by Banco de Mexico (the central bank of Mexico), serves as a measure of the average cost of funds in the Mexican inter-bank money market (i.e., Mexican interbank loans).
Electronic trading hours for CME CETES and TIIE futures will be on GLOBEX from 4:30 p.m. (Central time) to 4:00 p.m. the following day; on Sunday and holidays, trading begins at 5:30 p.m. Regular trading hours for open outcry trading will be from 7:20 a.m. to 2:00 p.m.
CME will list six consecutive monthly expirations for CETES futures and 24 consecutively monthly expirations for TIIE futures. Contract specifications for the two new products are described in the tables below:
| 91-Day CETES Futures | |
| Notional Value | 400,000 Mexican Pesos |
| Quote Basis | IMM Index pricing = 100.00 - Rate, e.g. contracted annual rate of 8.90% is quoted as 91.10 for 91-day Mexican CETES (Mexican Treasury Bills) |
| Ticker Symbols | Open Outcry - CET GLOBEX® - GCE |
Minimum Price Fluctuation | 0.01 Index Point, or 10 Mexican Pesos |
| Listing Cycle | Monthly listing Cycle - 6 consecutive calendar months |
| Termination of Trading | |
| Delivery | By Cash Settlement |
| 28-Day TIIE Futures | |
| Notional Value | 1,200,000 Mexican Pesos |
| Quote Basis | IMM Index pricing = 100.00 - Rate, e.g. contracted annual rate of 8.90% is quoted as 91.10 for 28-day Mexican interbank loans |
| Ticker Symbols | Open Outcry - TIE GLOBEX® - GTI |
| Minimum Price Fluctuation | 0.01 Index Point, or 10 Mexican Pesos |
| Listing Cycle | Monthly Listing Cycle - 24 consecutive calendar months |
| Termination of Trading | |
| Delivery | By Cash Settlement |
CME previously listed CETES and TIIE futures from 1997 until 2001. The new contract specifications are one-fifth the notional value of the previously listed contracts.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 and options on futures primarily in four product areas: interest rates, stock indexes, foreign exchange and commodities. The exchange moves an average of about $1.8 billion per day in settlement payments and manages $27.4 billion in collateral deposits. On Dec. 6, 2002, Chicago Mercantile Exchange Holdings Inc. (NYSE: CME) and its CME subsidiary became the first publicly traded U.S. financial exchange.
