CME expanding global listings with euribor

From a press release issued by CME Group...

CHICAGO, June 2, 2011 /PRNewswire/ -- CME Group, the world's leading and most diverse derivatives marketplace, has announced today that it will launch Euribor futures and options on CME Globex beginning in the second half of 2011. This further diversifies CME Group's non-dollar short term interest rate (STIR) product portfolio and gives customers access to CME Group's deeply liquid interest rate complex as well as its fast and reliable CME Globex platform. This contract will be listed with, and subject to, the rules and regulations of CME.

"We have a proven track record of effectively building liquidity across maturities, successfully expanding our product portfolio and innovating new products," said Bryan Durkin, CME Group Managing Director and Chief Operating Officer. "Our Eurodollar futures volumes are growing much faster than those of our nearest competitors' short term interest rate products, and we will continue to pursue further growth by building liquidity in our new Euribor futures and options contracts."

"We are adding Euribor futures and options in response to strong customer demand for the ability to trade U.S. and European STIR products on the same platform creating operational efficiencies, trading and spreading opportunities," said Derek Sammann, CME Group Managing Director of Interest Rates and FX Products. "Euribor is a natural extension of our hugely successful Eurodollar futures and options complex and compliments our recently launched Sovereign Yield Spread futures contract. By putting Euribor futures and options on CME Globex with our deeply liquid interest rate product suite, our customers will realize more trading opportunities, greater capital savings and operational efficiencies."

CME Group is the leading marketplace for interest rate futures and options on futures including U.S. Treasuries and Eurodollars. Its Eurodollar futures volumes are more than two times larger than NYSE Liffe Euribor futures. Eurodollar futures open interest is nearly three times larger.

CME Group's Euribor products will offer an easy way to hedge global interest rate exposure, providing our customers with greater risk management flexibility. The key benefits include:

  • Easy Access: CME Group Euribor futures will be plug-and-play for our customers, leveraging our existing clearing firm infrastructure and CME Globex technology.
  • Operational and Cost Efficiencies: Customers will benefit from margin offsets of up to 75 percent between Euribor, Eurodollar and Treasury products, as well as competitive transaction and clearing fees.
  • Global Distribution: Customers gain access to our fast, reliable CME Globex network, broad global trading community and the world's most diverse suite of listed and OTC financial products.

To view a video discussion of Euribor futures with Derek Sammann, visit: http://cmegroup.mediaroom.com/index.php?s=129. For additional information about CME Group's Euribor futures and options, click here.

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