CME Group U.S. Treasury Futures Open Interest Surpasses Record 21 Million Contracts

Rhea-AI Summary

CME Group (CME) achieved a new record in open interest for its U.S. Treasury futures, reaching 21,428,757 contracts with a notional value of $2.57 trillion, representing a 50% year-over-year increase. The average daily volume (ADV) of 5.5 million contracts in 2023 is the highest annual level ever. Agha Mirza, CME Group Global Head of Rates and OTC Products, highlighted the market's liquidity profile and overall participation, indicating continued deep liquidity and record risk transfer. The company offers electronic trading, central limit order book, and flexibility in privately negotiated transactions, benefiting various clients including sovereigns, banks, asset managers, and hedge funds.

Positive

• Record open interest and ADV in U.S. Treasury futures
• 50% year-over-year increase in notional value
• Market's leading electronic trading platform and flexibility in transactions

Negative

• None.

• Highest-ever annual ADV of 5.5 million contracts also reached in 2023

CHICAGO, Nov. 28, 2023 /PRNewswire/ -- CME Group, the world's leading derivatives marketplace, today announced that open interest in its deeply liquid U.S. Treasury futures set a new record of 21,428,757 contracts on November 24.

This year, the notional value of open interest in CME Group U.S. Treasury futures grew to $2.57 trillion, an increase of 50% year-over-year, as the average daily volume (ADV) reached 5.5 million contracts, the highest annual level ever.

"Throughout 2023, we have seen record volume and open interest in our U.S. Treasury futures, which offer market participants the most efficient and liquid products to hedge risk across the yield curve," said Agha Mirza, CME Group Global Head of Rates and OTC Products. "We are particularly pleased with the breadth of our market's liquidity profile and overall participation, as measured by large open interest holders in the CFTC's commitment of traders report. Amid our third consecutive year of record ADV, this indicates the market will remain deeply liquid, while it continues to enable record risk transfer."

CME Group delivers the market's leading electronic, central limit order book for every tenor of U.S. Treasury futures, which trade side-by-side on the CME Globex platform with BrokerTec cash securities. In addition, clients benefit from the flexibility of privately negotiated transactions in the form of blocks, exchange for risk (EFR) and exchange of futures for physical (EFP) agreements. Clients using these tools to manage risk include sovereigns, banks, asset managers, hedge funds, principal trading firms and other institutions.

U.S. Treasury futures receive margin offsets against existing CME Group Interest Rate products, and are listed with, and subject to, the rules of CBOT. These contracts are also eligible for portfolio margining against other cleared interest rate swaps and futures.

For more information on CME Group U.S. Treasury futures, please visit our product page here.

About CME Group

As the world's leading derivatives marketplace, CME Group (www.cmegroup.com) enables clients to trade futures, options, cash and OTC markets, optimize portfolios, and analyze data – empowering market participants worldwide to efficiently manage risk and capture opportunities. CME Group exchanges offer the widest range of global benchmark products across all major asset classes based on interest rates, equity indexes, foreign exchange, energy, agricultural products and metals. The company offers futures and options on futures trading through the CME Globex platform, fixed income trading via BrokerTec and foreign exchange trading on the EBS platform.  In addition, it operates one of the world's leading central counterparty clearing providers, CME Clearing.

CME Group, the Globe logo, CME, Chicago Mercantile Exchange, Globex, and, E-mini are trademarks of Chicago Mercantile Exchange Inc.  CBOT and Chicago Board of Trade are trademarks of Board of Trade of the City of Chicago, Inc.  NYMEX, New York Mercantile Exchange and ClearPort are trademarks of New York Mercantile Exchange, Inc.  COMEX is a trademark of Commodity Exchange, Inc. BrokerTec and EBS are trademarks of BrokerTec Europe LTD and EBS Group LTD, respectively. The S&P 500 Index is a product of S&P Dow Jones Indices LLC ("S&P DJI"). "S&P®", "S&P 500®", "SPY®", "SPX®", US 500 and The 500 are trademarks of Standard & Poor's Financial Services LLC; Dow Jones®, DJIA® and Dow Jones Industrial Average are service and/or trademarks of Dow Jones Trademark Holdings LLC. These trademarks have been licensed for use by Chicago Mercantile Exchange Inc. Futures contracts based on the S&P 500 Index are not sponsored, endorsed, marketed, or promoted by S&P DJI, and S&P DJI makes no representation regarding the advisability of investing in such products. All other trademarks are the property of their respective owners.   

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SOURCE CME Group

FAQ

What is the record open interest for CME Group U.S. Treasury futures?

The open interest reached a new record of 21,428,757 contracts with a notional value of $2.57 trillion.

What is the average daily volume (ADV) for CME Group U.S. Treasury futures in 2023?

The ADV reached 5.5 million contracts, marking the highest annual level ever.

Who is the Global Head of Rates and OTC Products at CME Group?

Agha Mirza holds the position of Global Head of Rates and OTC Products at CME Group.

What types of clients benefit from CME Group U.S. Treasury futures?

Various clients including sovereigns, banks, asset managers, and hedge funds benefit from the liquidity and flexibility offered by CME Group U.S. Treasury futures.