CME Share Price Falls As Consortium Plans To Build Rival Exchange

CME Group Inc’s share price fell on Monday after news broke on Friday that a group of Wall Street investment banks and trading firms plan to build a rival exchange to compete against Chicago Mercantile Exchange parent CME Group Inc.

The consortium planning to build the new exchange comprises twelve financial institutions, including Merrill Lynch & Co, Bank of America, JPMorgan, Citadel Investment Group, Credit Suisse, Barclay's Barclay Capital, Citigroup, Deutsche Bank , eSpeed, GETCO LLC, PEAK6 and the Royal Bank of Scotland.

The new exchange which will be using eSpeed’s electronic platform, plans to begin trading in futures contract based on U.S. Treasury bonds.