Brazilian Real future on CME/GLOBEX no longer tradeable?

Discussion in 'Interactive Brokers' started by newbunch, Sep 25, 2022.

  1. newbunch

    newbunch

    Did something happen with the Brazilian Real futures contract? I've traded it in the past and my TWS says that the October contract is still tradeable (it is expiring this week) but upcoming contracts are marked "Clearing issues: Due to clearing-related issues, this product is subject to a closing-only restriction and can only be closed."

    [​IMG]

    I haven't seen anything about this and can't find any reason for this new rule.

    Anyone know anything? @def?
     
  2. SunTrader

    SunTrader

    Not an IB customer so can't comment on what they are doing or not doing but Friday 6L (Octo contract) had Vol of 9348 and OI of 49,716 sooo I'd say they are still being traded.
     
  3. maxinger

    maxinger

    there are thousands of products in this world which has zero or rather a low volume.

    It makes sense for the brokers/Exchanges to do some housekeeping.
     
    Last edited: Sep 25, 2022
  4. tiddlywinks

    tiddlywinks

  5. maxinger

    maxinger

  6. TheDawn

    TheDawn

    Aside from that Reuters article, I don't see anything, published by CME or anywhere else announcing any restriction of the trading of Brazilian Real futures. Is IB pulling the same shit as restricting the meme stocks shares or a mistake? Given it's IB, it could very likely be a mistake. They wanted to restrict one instrument but put the restriction on another.
     
  7. Daal

    Daal

    I have used them for years and im getting the same restriction. I opened a ticket but I'm not holding my breath. It would be a shame if they restricted that right when the interest rate differential is at a multi year highs
     
  8. Daal

    Daal

    Could this be related to the recent volatility in FX markets and the Brazilian presidential election which is next Sunday?
     
  9. Unfortunately I'm having the same restriction, and have an open ticket as well, and want a solution to this.
    As for the reason, I really hope it's not because of the Brazilian elections or any other event, IB shouldn't be micromanaging which products are "risky" or not, that's what margins are for. IB thinks BRL future is risky? demand more margin, just like they do on Carbon emissions futures, Bitcoin futures, or so many securities that are just not marginable. And not cherry-picking which products should be traded. If they go that route, it's the end of IB to me as a client, as my strategy requires a lot of different futures across many geographies and asset classes.
     
    ajensen and newbunch like this.
  10. newbunch

    newbunch

    Could be, but why not just raise the margin to some ridiculous rate rather than restrict all new trades?
     
    #10     Sep 27, 2022
    velosoandre likes this.