Discussion in 'Ag Futures' started by TraDaToR, Dec 13, 2011.
Long overdue. Those clowns should be charged under RICO.
Boo hoo hoo.
How is it NOT an uncompetitive and unfair trade practice that the Globex electronic trades were not computed into the exchange's settlement procedures up to this point in time ? Globex does over 75% of the grain volume but high and low-ball last second pit trades count trump that completely ?
OMG! I wasn't aware that clowns were a corrupt organization. They always look so happy and everything. I guess looks can deceive.
From that Chicago Tribune article: "The change in settlement rules "has caused a rapid, dramatic decrease in trades" for floor traders and "will eventually effectively eliminate the CBOT open outcry market for agricultural futures," according to the lawsuit."
Here's the real truth to the matter:
UPDATE 1-ABN AMRO to shut down grains desk on CBOT trading floor
Thu Sep 20, 2012 12:59pm EDT
* Five-person desk closing due to lack of business
* Desk to close Nov. 1
By Sam Nelson
CHICAGO, Sept 20 (Reuters) - Brokerage ABN AMRO Clearing Chicago LLC will shut down its grains desk on the trading floor of the Chicago Board of Trade on Nov. 1 due to a lack of pit trade business, the five members of the desk told Reuters on Thursday.
The team of four phone clerks and one runner primarily handled business from investors using the "open outcry" futures trading pits for transactions.
A spokesman for ABN AMRO in Chicago declined to comment.
"We're closing November first," one of the desk staffers said. "We were busy about five minutes after the open and about 10 minutes before the close but that was about it. The rest of the day there was no business."
Exponential growth of electronic trading has rapidly eroded trading volume in the once raucous CBOT grain trading floor futures pits, which have set global market benchmarks for everything from oats to corn for more than 160 years.
Floor trading of grain and soy complex options remains robust, but futures trading by old-school hand and verbal signals continues to fade.
In August, 96 percent of CBOT ag contracts were traded electronically, according to CBOT data. On Wednesday the share was 94 percent.
The ABN AMRO desk staff, who asked not to be named, were looking for jobs but said they were not optimistic there would be any openings on the trading floor.
"I'm taking a little time off and we'll see where I go from here," one said.
Managers, phone clerks and runners from other trading desks did not want to comment on the record about the closing of the ABN AMRO desk.
"It wouldn't be good for me to comment on another company or another desk, but yes the ABN AMRO desk is closing. We're still here and have heard nothing," a source at a competing company said. "As futures pit trade keeps shrinking, there is simply less need for a floor presence, fewer desks on the floor."
The ABN AMRO grains floor desk is well known among floor traders and news agencies as a reliable source of market information.
"I'm not so sure the CME is aware of the sociology and the news sharing that takes place on the floor, but everything is going electronically anyway," a trade source said.
ABN AMRO Clearing Chicago LLC is part of the Dutch bank ABN AMRO.
Penis envy. Clowns have big feet. You know hwat they say about big feet?
Charged with RICO? ... Wish ET had a "Like" button.
It's like the Berlin Wall coming down all over again.
"Three Chicago Board of Trade corn pit traders told an Illinois judge that their trading volume and profits have fallen since a change in end-of-day settlement pricing was imposed last year."
LOL... Less profit = proof of more efficient settlement
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