CME launches monthly FX futures contracts

CME adds to futures contracts with six new currency pairs.

CME Group has announced the expansion of its FX business with the launch of six monthly futures contracts.

FX market participants will have access to the front months of the FX forward curve with capital and listed futures scheduled for trading on 27 February this year.

The new contracts will be available on six currency pairs where CME already offers quarterly contracts.

For each currency pair an additional three monthly contract will be listed at any given time resulting in four consecutive months of monthly expiries, CME said.

Global head of FX at CME Group, Paul Houston, explained the launch is in response to feedback from global clients who want to trade FX futures.

“CME is a primary FX market, offering users the ability to trade FX in an efficient and transparent manner. Our current number of large open interest holders in foreign exchange show record levels of participation in our marketplace,” he said.

Tom Gentile, head of FX trading at Crabel Capital Management, added the new contracts will allow a “more tenor granularity” and “give the market increased flexibility in which to trade.”