CME launches new European contracts

May 20, 2015 10:38 AM

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  • CME Europe will launch eight new European power futures contracts beginning June 15, in response to increasing interest in newly emerging, traded electricity markets. According to Reuters, U.K. Financial Conduct Authority (FCA) has already approved and authorized contracts for German, Italian, Spanish and French futures, which will be distributed through the Trayport platform.
  • CME declared a 2Q15 dividend of $0.50 per share, payable on June 25, 2015, to shareholders of record as of June 10, 2015.
  • The London Metal Exchange (LME) developed a new warehouse receipt system, Reuters reported. LME CEO Garry Jones stated that the system “will make the whole process of warehouse storage, the audit and trailing of warehouse receipts much easier to understand and much more useful,” and that the program could be expanded to include non-LME stocks of metals and other markets.
  • MIAX senior vice president Shelly Brown stated that the exchange is looking to do business with liquidity providers, and that the exchange’s market-maker model is what differentiates it from competitors, John Lothian News reported. In Brown’s words, “we don’t cater so much to the high frequency traders but rather to a market maker community that is required to make markets in all the options in all classes.”
  • Hong Kong Exchange and Clearing Limited (HKEx) plans to give traders in China access to international benchmark commodity futures, as well as offer mainland contracts to overseas traders, Bloomberg reported. In HKEx CEO Charles Li’s words, “we are very confident that ultimately, hopefully in the not too distant future, we will be able to announce a certain level of connectivities on the commodity side.”
  • BM&F BOVESPA (BVMF3)’s long-term Brazilian national scale issuer rating of Aaa.br has been withdrawn by Moody’s Investors Services.
  • U.S. Senate Banking Committee: ten Democrats, led by Senator Brown of Ohio, are writing financial legislation that they hope will replace the Republican bill which they believe is aimed at dismantling the Dodd-Frank Act, Bloomberg reported. Brown stated last week that “we can provide small financial institutions the help they need without undermining important financial safeguards.”
About the Author

Bernardo Mariano brings to ERDesk his experience structuring private deals for the acquisition of mutual exchanges. Prior to joining ERDesk Bernardo worked as a Director for Instinet and later, CEO of Reuters' Bondex. He holds an MS in Economics from University of Illinois and an MIA in Finance from Columbia University. He can be reaced at be reached at mariano@erdesk.com.