New !! CME Fed Funds-Eurodollars Exchange Spread

Discussion in 'Financial Futures' started by bone, Nov 16, 2017.

  1. bone

    bone ET Sponsor

    In the first half of 2018 the CME will be rolling out a Fed Funds versus Eurodollars exchange spread. This is very, very exciting news - I personally anticipate a great deal of commercial, institutional, and large spec interest.

    I am providing a link below for you to register for the webinar, which will be held on Tuesday, November 28, 11:00-12:00 pm US Central time.

    http://pages.cmegroup.com/index.php...KZm1CNG05WHBUeE5kd2VHWDl5TG8xRWJDMHFVUzJFIn0=
     
    Double Aught Bill and MattZ like this.
  2. Overnight

    Overnight

    Hehe, you are very cute bone. You get so excited about new spread possibilities, like a dog getting a fresh new...bone? This post reminded me of how yesterday we got a new cow bone for our dog...Whenever he gets a new one he sits and gnaws on it for hours while ignoring everything around him. :)
     
    Last edited: Nov 16, 2017
  3. bone

    bone ET Sponsor

    You're so right - I popped wood the second this notice from CME appeared in my inbox. :rolleyes:
     
    comagnum likes this.
  4. Maverick74

    Maverick74

    It's not a new spread. The TED spread is probably the most watched IR spread in the world.
     
  5. bone

    bone ET Sponsor

    The ease of execution is the big deal. As Mav eluded to it neatly packages a very important spread into a singular consumer product basically. It's essentially unsecured bank credit versus unsecured commercial credit - important indeed.
     
  6. Overnight

    Overnight

    New to the CME I guess then.
     
  7. Maverick74

    Maverick74

    Well, most players in the OTC market did this in cash. Now the home gamers can get involved. So I agree with Bone, this is a great spread and I suspect it will be very popular. You might even like it Overnight!
     
  8. bone

    bone ET Sponsor

    Everyone involved in financing tracks this relationship - including the Fed.

    [​IMG]
     
  9. sle

    sle

    Also known as LIBOR-OAS. I will make a prediction that it will be a spectacular failure :)
     
    i960 likes this.
  10. Maverick74

    Maverick74

    Very possible. The cash market really dominates this. But I think for a lot of people, it will at least make this spread easier to track and collect data on. I think another reason Sle you might be right is most of the large fixed income prop firms in Chicago have gone away. I'm still glad they are offering it.
     
    #10     Nov 16, 2017