All articles tagged with #cme group
CME Group is introducing futures contracts for AI compute, aiming to standardize the trading of GPU rental rates. The move targets a market projected to reach $2.3tn by 2030, allowing firms to hedge against volatile pricing for Nvidia H100 and B200 chips.
Bitcoin consolidated near $86,000 on Wednesday, with daily volume dropping 36% to $38 billion. Bitcoin Cash surged 32% to $351.59 following a CME futures announcement, while broader crypto breadth narrowed as 38 of 100 major assets fell. Brent crude dropped below $100 on U.S.-Iran deal hopes, easing inflation fears.
CME Group launched cash-settled single-stock futures on 55 U.S. stocks (plus micro-sized contracts on 22 names) that trade on Globex from Sunday evening through Friday afternoon with a one-hour maintenance break. The contracts offer a simpler, margin-based way to express bullish or bearish views compared with options, with no time decay and no ownership rights, and are settled in cash based on the stock’s official closing price at expiration. Initial names include SpaceX, Micron Technology, Nvidia, Tesla and Apple, with CME hinting at potential expansion based on demand.
CME Group will launch more than 50 single-stock futures contracts tied to large US equities, cash-settled at the closing price, in two sizes (standard 100-share and micro 10-share) and trade five days a week nearly 23 hours a day, aiming to give traders leveraged exposure without options and attract retail participation amid IPOs and stock shortages; the move requires SEC and CFTC approvals and carries typical futures risks like choppiness after hours and trading commissions.
CME Group CEO Terrence Duffy says the exchange will sue the CFTC over the regulator’s approval of bitcoin perpetual futures for Kalshi, arguing perpetuals are swaps under the Dodd-Frank Act; the lawsuit is to be filed the next day, a plan he has been pursuing with the board for months as he prepares to step down in 2027, while the CFTC defends its decision.
Silicon Data and CME Group are pursuing the world’s first futures contracts tied to AI compute power, aiming to hedge the cost of training and running AI models. The plan relies on standardized GPU benchmarks across providers, a normalization method for Nvidia H100 configurations, and regulatory approval, with ETFs from ProShares and Rex signaling growing investor interest in treating AI compute as a tradable asset.
CME Group and Silicon Data are launching a compute futures market tied to daily GPU benchmarks to hedge rising AI computing costs. The contracts, based on Silicon Data’s GPU price indexes, await regulatory approval and aim to standardize GPU pricing for AI builders, cloud providers, and investors.
FanDuel is expanding into prediction markets with FanDuel Predicts, now live in 16 states via a CME Group derivatives framework, as it seeks growth beyond traditional sports betting. Prediction markets are regulated as trading products by the CFTC rather than gambling, allowing wider access across states, but the move comes amid scrutiny over insider trading and societal impacts of wagering on politics or other real-world events. FanDuel says it will avoid high-risk bets (like elections or death) and remains focused on a sports-centric experience while expanding its addressable market.
CME Group halted trading in its CME Globex metals and natural gas futures and options markets due to technical issues. Natural gas futures and options will pre‑open at 12:45 Central Time and open at 12:50 Central Time as the firm investigates. All day orders and good‑till‑date orders for Wednesday were canceled, while good‑till‑canceled orders that had already been acknowledged would remain in place. CME said it is looking into the disruption.
CME Group is increasing margins on precious-metal futures for the second time in a week due to recent high market volatility, especially in silver, to ensure adequate collateral coverage amid wild price swings.
The calculations for the S&P 500 and Dow Jones Industrial Average halted for about an hour due to data feed issues, but trading continued normally and individual stock prices were unaffected. The CME Group confirmed the problem, which began at 10:41 a.m. ET and was resolved shortly before noon.
CME Group CEO Terry Duffy said the exchange is prepared to leave Chicago if the city and state take steps that are perceived as "ill-conceived," such as imposing a transaction tax on financial firms. The remarks come as Mayor Brandon Johnson is being sworn into office after proposing additional taxes to help boost the city's revenue. Duffy's comments may add pressure on the new mayor who's promised a slate of progressive reforms, as he contends with a recent exodus of financial firms from one of America's best-known trading hubs.
CME Group is adding daily expirations for bitcoin and ether futures options contracts, effective May 22. Bitcoin and ether futures options will have expirations Mondays through Fridays, while contracts based on micro-sized bitcoin and ether futures will add Tuesdays and Thursdays as expirations dates to the current slate of Mondays, Wednesdays and Fridays. CME's bitcoin and ether futures and options had a record daily average volume of more than $3 billion in the first quarter.