EurexUS, will it work?

Discussion in 'Index Futures' started by tighttrigger, Mar 31, 2004.

  1. You didn't know? http://www.nybot.com/russell2003/

    CBOT is pushing to offer a similar or same product as well. This is not final yet.
     
    #101     Jan 5, 2005
  2. TGM

    TGM

    Yes that is right ---the Nybot! That does not count tho. They will never be competitive. They do not have a platform folks can trade. Unless, Cbot buys the Nybot they will not be a Russell contender. The Cbot offering Russell is interesting. Sounds like a fight is going to happen.
     
    #102     Jan 5, 2005
  3. I know that the NYBOT is not a contender. That is why I started the message with that line; as if everyone should know that it is traded on the NYBOT. :)
     
    #103     Jan 5, 2005
  4. Russell 1000® and Russell 2000® futures to begin trading on February
    4/Three month fee waiver for Russell products

    Eurex US, the fully-electronic U.S. futures and options exchange,
    confirmed February 4 as the launch date for its new futures on the
    U.S. large-cap Russell 1000 index and the U.S. small-cap Russell 2000
    index. The introduction of these products will expand Eurex US's
    product portfolio to include U.S. index derivatives for the first
    time.

    "The new equity index derivatives suite reinforces Eurex US's
    commitment to offering customers access to a full range of U.S and
    European products, pending approval by the CFTC," said Satish
    Nandapurkar, CEO of Eurex US. "This new asset class will be supported
    by a strong network of market makers, ensuring liquidity and creating
    low cost trading opportunities for our customers."

    To provide basis liquidity in this new market, 15 firms have already
    agreed to act as market makers for the new futures on the Russell
    1000 index and the U.S. small cap Russell 2000. These firms will
    provide additional liquidity and increase order book depth by
    continuously quoting prices and offering competitive spreads. Market
    makers will be active during the core U.S. trading hours (8:30 am to
    3:00pm CST).

    Eurex US will waive all trading fees for all market participants for
    the first three months of trading in the Russell products. After this
    initial fee waiver, proprietary and market maker transaction fees
    will be U.S. 2.5 cents for trades executed in the order book and U.S.
    30 cents per side for Over-The-Counter (OTC) trades. Customer
    transaction fees will be U.S. 50 cents per side for trades executed
    in the order book and OTC trades will be subject to a surcharge of 30
    cents per side.

    "Eurex US has gained good support from market makers and offered a
    three month fee waiver in the trading of these products to ensure a
    solid start of trading," said Kelly Haughton, strategic director of
    Russell indexes. "With Phase I of the Global Clearing Link in place
    and the introduction of Russell 1000 and Russell 2000 futures on
    Eurex US, American traders will be able to more efficiently spread
    the U.S. and European markets."

    The large-cap Russell 1000 index measures the performance of the
    1,000 largest U.S. companies based on total market capitalization.
    The Russell 2000 measures the performance of the 2000 companies
    following the Russell 1000 components and is the industry standard
    for U.S. mid-cap companies.
     
    #104     Jan 11, 2005
  5. Anyone know what IB's position on this will be?
     
    #105     Jan 11, 2005
  6. Xenia

    Xenia

    Hopefully offering ER2/EurexUS from day 1.
     
    #106     Jan 11, 2005
  7. Pricing was what I was wondering about. Pretty sure they will offer it as they already offer the other products...
     
    #107     Jan 11, 2005
  8. FredBloggs

    FredBloggs Guest

    so will the eurexus russell 2k be a full size or mini contract?

    the current r2k full size on cme floor is very thin
     
    #108     Jan 11, 2005
  9. Xenia

    Xenia

    More or less same price as TNL/EurexUS (just my guess).
     
    #109     Jan 11, 2005
  10. It is equivalent to the mini. It will be trading at $10 per tick. Falls the same contract spec as the ER2.
     
    #110     Jan 11, 2005