The US derivatives industry came to terms with its first foreign interloper yesterday when the first trade on Eurex US was executed successfully at 7.00 p.m. CST, as the Asian markets opened.
“The start of trading on Eurex US went flawlessly and there is great liquidity on the system,” says Satish Nandapurkar, CEO of Eurex US. “The Eurex US market model levels the US futures playing field and allows all investors to benefit from low cost and open access to some of the most liquid derivatives products worldwide.”
Eurex US is offering the same US Treasury bond and note futures as the long-established Chicago Board of Trade (CBOT), at a flat fee, and without bearing the relatively high costs of an open outcry market. Its plans to clear trades on a transatlantic process were postponed by US protectionism, but remain in hand.
Eurex US currently hosts markets for futures and options on 2-, 5- and 10-year Treasury notes and on 30-year Treasury bonds. For now, the Chicago-based Clearing Corporation is acting as Eurex US’s clearing organization in the United States.
More than 1,800 traders from over 100 member firms are connected to Eurex US. A total of 36 market makers provide liquidity to the new marketplace.
To mark the launch of Eurex US, the television antennae atop the Sears Tower, headquarters of Eurex US, were illuminated with green and blue lights, the corporate colors of Eurex US. The light show will continue on Monday.