CME Group Stock Price, News & Analysis

CME Group reported a significant increase in its market activity for Q2 and June 2021, achieving an average daily volume (ADV) of 18.4 million contracts. Key highlights include a 5% overall ADV increase compared to Q2 2020, with a notable 25% rise in interest rate futures and options. Record volumes were observed in Bitcoin and Ether futures, while agricultural and options trading also saw substantial growth. Additionally, international trading volumes grew, showcasing CME's expanding global reach.

CME Group announced the trading of Micro Bitcoin futures surpassed 1 million contracts on June 25, 2021. This contract, launched just over a month prior, allows participants to hedge bitcoin price risk efficiently. Tim McCourt noted strong demand from both institutions and individual traders. Brooks Dudley highlighted higher-than-expected institutional volume, confirming the market's readiness for smaller contracts. Martin Franchi emphasized the opportunity for retail traders to diversify their crypto strategies. Micro Bitcoin futures are cash-settled based on the CME CF Bitcoin Reference Rate.

CME Group has announced the integration of its FX Link with the Bloomberg Terminal, allowing market participants to electronically access pricing and liquidity for FX swaps in G5 currency pairs. This collaboration enhances FX Link's role as a cleared, capital-efficient central limit order book. The integration facilitates seamless execution of trades and broadens access to FX futures contracts via Bloomberg's ISV, Tradebook. This move is expected to increase liquidity and price transparency in the FX market, with diverse participation from various financial entities.

CME Group announced that its Micro E-mini Equity options have surpassed 1.5 million contracts traded as of June 18, 2021. These options, which were launched in August 2020, complement the existing Micro E-mini Equity futures. Since their May 2019 launch, over 800 million Micro E-mini Equity futures contracts have been traded across four major indices. CME Group's Tim McCourt highlighted the popularity and robust participation in these options among various traders, particularly emphasizing their unique micro-sized offering that enhances risk management capabilities.

CME Group, a leading derivatives marketplace, in collaboration with Chicago Mayor Lori Lightfoot, awarded 25 scholarships of $5,000 each to Star Scholars graduating from City Colleges of Chicago. This initiative helps students transition to four-year institutions, enhancing educational equity. Mayor Lightfoot emphasized the importance of these scholarships in creating a diverse talent pipeline post-pandemic. Since 2017, CME has supported over 10,500 graduates, contributing more than $2 million in scholarships, significantly benefiting the local community and fostering academic success.

CME Group will announce its Q2 2021 earnings on July 28, 2021, before market opening. Key highlights will be available on the company's website at 6:00 a.m. Central Time. An investor conference call is scheduled for 7:30 a.m. Central Time, providing an opportunity for analysts to ask questions. The earnings press release and an audio Webcast of the call can be accessed through the CME Group Investor Relations website.

CME Group announced the launch of FTSE 100 Adjusted Interest Rate (AIR) Total Return futures on June 7, 2021. This new product aims to offer a capital-efficient, exchange-traded alternative to total return swaps, designed specifically for hedging Euro equity benchmark exposure. Tim McCourt, Global Head of Equity Index and Alternative Investment Products, emphasized its importance as a risk management tool. Collaborating with FTSE Russell, this contract allows participants to efficiently manage repo risk. The futures are beneficial for asset managers, banks, and hedge funds, enabling margin efficiency and reduced dividend risk.