CHICAGO AND LONDON, April 18 /PRNewswire-FirstCall/ -- CME, the largest
U.S. futures exchange and the largest regulated marketplace for foreign
exchange (FX), and Reuters (Nasdaq: RTRSY), the global information company,
today announced that four additional clearing firms have joined CME FX on
Reuters. Calyon Financial, JPMorgan, Lehman Brothers, and Refco join the
existing seven clearing firms to facilitate trading for CME and Reuters end-
users, further expanding the impact of this offer.
Clearing banks and firms play an essential function in the roll-out of CME
FX on Reuters as they enable the Reuters and CME communities to trade with one
another. The four firms that join today further expand the reach of CME FX on
Reuters. ABN AMRO, Bank of America, Barclays Capital, HSBC, Royal Bank of
Scotland, Skandinaviska Enskilda Banken, Societe Generale and Fimat
International Banque SA formed the beta test group for this service, which has
since been launched in Europe and North America on 14 March.
In addition, CME and Reuters also announced today that the service will
start to go live in the Asia Pacific region over the next two weeks in key
financial centres including Tokyo, Hong Kong, Singapore and Sydney.
"Since the launch of the CME FX on Reuters we have found it to be a viable
avenue for market access. Liquidity has been deep, STP trade processing has
been smooth and efficient, and the technology is stable. We are extremely
pleased with how things have gone thus far, and with the prospects for the
future. We plan to continue the roll-out of CME FX on Reuters within the
global FX business at HSBC," said Dan O'Sullivan, Head of Spot and Forward
Trading, HSBC Bank USA.
"In the short time since CME FX on Reuters launched, we are pleased with
the level of trading activity by our launch firms and have received positive
feedback from traders," said Bryan Hunter, Director, CME Foreign Exchange.
"Traders are finding CME FX markets attractive and are identifying new trading
opportunities as a result of being able to view futures markets side-by-side
with the spot interbank market. Additional banks and clearing firms in North
America and Europe that understand the benefits this service brings to the FX
markets and their clients have also expressed interest in participating."
Michael McCorkle, Reuters Treasury Business Manager, said: "Today's
announcement highlights the market interest and good progress we're making on
the roll out of CME FX on Reuters. With the support of the new clearing firms
announced today, we'll reach a whole new set of end users expanding the impact
of the service. This initiative brings more value to the Reuters Dealing
community beyond the successful spot and forward foreign exchange products to
include FX futures."
Comments from the new clearing banks that joined today include:
"Calyon Financial is pleased to become a partner for CME FX on Reuters,"
said Marc Schultz, Executive Vice President, Head of Sales-North America,
Calyon Financial Inc. "As a global leader in brokerage services, Calyon
Financial is continuously working to bring our institutional clients
innovative and efficient solutions, and CME FX will allow us to enhance our
agency OTC and currency futures product offering to our clients."
Antonio Reyes Miras, Global Head of Electronic Trading for JPMorgan's
Futures & Options business, said: "We see this initiative as an additional and
innovative distribution channel enabling us to offer our futures execution and
clearing services to the Reuters Dealing 3000 community. The CME FX and
Reuters partnership brings together best of breed, by combining CME's mature
currency futures offering and Reuter's industry leading financial information
services."
"Refco's participation in CME FX on Reuters brings another channel to our
customers seeking access to the global foreign exchange markets. As a major
foreign exchange broker, we continually seek to provide clients with the best
options to implement their trading strategies. This service fully complements
our strategy of providing multiple access points for our global client base,"
said Sandy Maggio, Executive Vice President, Refco Group Ltd. LLC.
The launch of CME FX on Reuters paves the way for more dynamic and
efficient markets as the first major linkage between sell-side traders in the
interbank FX market and electronic CME FX futures markets, where hedge funds
and other major buy-side participants play a major role.
CME FX on Reuters brings all the advantages and efficiencies of CME
futures trading to Reuters Dealing 3000 users. CME FX futures appear in spot-
equivalent terms, simplifying usage for cash market participants by
facilitating price comparisons between the two markets, potentially bringing
greater pricing efficiencies to both. Price displays and trading
functionality replicate the look and feel of Reuters spot matching, however
users are not required to subscribe to the Reuters spot matching service to
utilize CME FX on Reuters. Executed trades can be routed through Reuters
ticket output feed for straight-through processing. In addition CME's central
counterparty clearing eliminates the need for bilateral credit lines, making
it easier for banks to trade with non-banks.
CME offers 36 different foreign exchange futures and 23 options on futures
products and received FX Week's 2004 eFX award for the best electronic futures
platform. Last year, over 51 million FX contracts traded at CME with a
notional value of over $6.2 trillion.
Reuters, an international leader in financial information and analytics,
serves 328,000 financial professionals worldwide. Reuters Dealing 3000
platform is used by nearly 18,000 FX and money market professionals across
4,000 organizations to trade FX spot, forwards, options and now futures, plus
interest rate and overnight index swaps. CME and Reuters previously
collaborated in the late 1980s and early 1990s to pioneer electronic futures
trading through the original CME(R) Globex(R) system.
For information on CME FX on Reuters please contact, Bryan Hunter on +1-
312-466-7488, Michael A. McCorkle on +1-646-206-3042 or visit
http://www.cmeonreuters.com .
Note to Editors:
Chicago Mercantile Exchange Inc. ( http://www.cme.com ) is the largest
futures exchange in the United States. As an international marketplace, CME
brings together buyers and sellers on CME Globex(R) electronic trading
platform and on its trading floor. CME offers futures and options on futures
primarily in four product areas: interest rates, stock indexes, foreign
exchange and commodities. The exchange moved about $1.42 billion per day in
settlement payments and managed $44.3 billion in collateral deposits as of
March 31, 2005, including $3.99 billion in deposits for non-CME products. CME
is a wholly owned subsidiary of Chicago Mercantile Exchange Holdings Inc.
(NYSE: CME), which is part of the Russell 1000(R) Index.
Statements in this news release that are not historical facts are forward-
looking statements. These statements are not guarantees of future performance
and involve risks, uncertainties and assumptions that are difficult to
predict. Therefore, actual outcomes and results may differ materially from
what is expressed or implied in any forward-looking statements. More detailed
information about factors that may affect our performance may be found in our
filings with the Securities and Exchange Commission, including our most recent
annual report on Form 10-K, which can be obtained at its Web site at
http://www.sec.gov . We undertake no obligation to publicly update any
forward-looking statements, whether as a result of new information, future
events or otherwise.
Chicago Mercantile Exchange, CME, the globe logo and CME Globex are
registered trademarks of Chicago Mercantile Exchange Inc. E-mini is a
trademark of CME. CLEARING 21 is a registered trademark of CME and New York
Mercantile Exchange, Inc. S&P, S&P 500, NASDAQ-100, Nikkei 225, Russell 1000,
Russell 2000, TRAKRS, Total Return Asset Contracts and other trade names,
service marks, trademarks and registered trademarks that are not proprietary
to Chicago Mercantile Exchange Inc. are the property of their respective
owners, and are used herein under license. Further information about CME and
its products is available on the CME Web site at http://www.cme.com .
Reuters ( http://www.reuters.com ), the global information company,
provides indispensable information tailored for professionals in the financial
services, media and corporate markets. Its trusted information drives decision
making across the globe based on a reputation for speed, accuracy and
independence. Reuters has 14,500 staff in 91 countries. This includes 2,300
editorial staff in 196 bureaus serving 129 countries, making Reuters the
world's largest international multimedia news agency. In 2004, Reuters Group
revenues were #2.9 billion.
This statement includes certain forward-looking statements relating to
Reuters within the meaning of Section 27A of the US Securities Act of 1933 and
Section 21E of the US Securities Exchange Act of 1934. Certain important
factors that could cause actual results to differ materially from those
disclosed in such forward-looking statements are described in Reuters Annual
Report and Form 20-F 2003 under the heading "Risk Factors". Copies of the
Annual Report and Form 20-F are available on request from Reuters Group PLC,
85 Fleet Street, London EC4P 4AJ.
SOURCE CME
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Related links:
http://www.cme.com
http://www.cmeonreuters.com http://www.sec.gov
CONTACT:
Yvonne Diaz, PR Director of Reuters,
+44-20-7542-2615, Mobile, +44-7990-560-615,
yvonne.diaz@reuters.com , or Anita S. Liskey, +1-312-466-4613, or
Pamela Plehn +1-312-930-3446, news@cme.com , both of Chicago
Mercantile Exchange
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