I have not seen everything in the futures industry but I have enough perspective to know that the MF Global was a big a deal. I am not sure why the CME has not come to restore some faith. I have always seen the CME as having “midwest” values. To help your neighbor if you…
Tag Archive: CME
Your trading goals are wrong.
I wanted to make money from the start. I thought it was going to be easy. Everyone was making money. Remember, I started my trading career at the CME. You knew if people were making money. You could see the cars they were driving. You would see them at breakfast eating lobster at the Merc…
Thoughts on Gasparino/CME rumor.
When the MF Global thing happened I knew there were going to be changes. After talking to owner of a big IB the other day, I sensed his need for overall stability. As in, this cannot ever happen again. I remember in 2008 many traders using their account as a bank. At that time we…
Basics of S&P 500 limit up and limit down.
Brief History Limits were created in 1988 and percentage move limits have been used since 1998. How they are calculated. Limits are calculated after each quarterly expiration of contract based on average closing price for the front contract. I am not sure how limits are created for other months as I do not trade them….
CME applies haircut and why it doesn’t matter.
The CME Group announced that early Monday they were applying a haircut to bonds. Lets define haircut and purpose of a bond. A haircut: In finance, a haircut is a percentage that is subtracted from the market value of an asset that is being used as collateral. The size of the haircut reflects the perceived risk associated with holding the asset. However, the lender…
