CBOT President and CEO Bernard W. Dan said, "We welcome this opportunity to work strategically with NYBOT in helping to distribute its products to an even broader international audience. This non-binding agreement with NYBOT comes on the heels of the CBOT establishing a successful hosting agreement with three of North Americaâs largest grain exchanges, as well as the recent joint announcement with the Singapore Exchange regarding the launch of our new all-electronic exchange in which the CBOT will host the new Asian-based commodity products on its electronic trading platform."
Dan added, "By offering one of the most premier electronic trading platforms to NYBOT, the CBOT is working to bring the industry greater standardization of electronic trading. This standardization is increasing efficiency and reducing costs for market users by providing access to multiple exchanges from a single location."
NYBOT Chairman Frederick W. Schoenhut said, "Our decision today marks a major new commitment to expand our markets and to enhance service to our market users at the New York Board of Trade. This new electronic system will provide our financial products with the tools it needs to ensure continued growth in this very competitive arena."
AEMS President and CEO Jean-Marc Bouhelier said, "This initiative is a tremendous opportunity to provide LIFFE CONNECTÂ® to the NYBOT in partnership with the CBOT. Our state-of-the-art platform has become widely embraced by the global marketplace. The CBOT hosting model supported by AEMS has proven to be an efficient and cost effective venue for multiple exchanges, allowing worldwide access and distribution of their products through a single platform."
In addition to the CBOTâs agricultural, financial, and metal products, the Exchangeâs electronic trading platform currently hosts futures and options products offered by the Kansas City Board of Trade (KCBTÂ®), the Minneapolis Grain Exchange (MGE) and the Winnipeg Commodity Exchange (WCE). The CBOT entered into the landmark agreements with these institutions in 2004. Each exchange remains independent and maintains separate open and close times.
The CBOT also plans to host the new Asian-based commodity contracts to be listed on the Joint Asian Derivatives Exchange (JADE), a joint derivatives exchange formed in partnership between the CBOT and the Singapore Exchange (SGX), expected to launch by the end of the third quarter of 2006.
NYBOT recently experienced its third straight record volume year in 2005, with total volume jumping 20 percent to a record of 37,945,585 futures and options contracts. Currency futures (including the U.S. Dollar IndexÂ® [USDXÂ®], symbol: DX) also established a new record with 3,604,877 contracts changing hands, an increase of 53 percent. The USDX had a combined futures and options record of 1,159,938 contracts and the futures market was up 55 percent. Currency Pairs at NYBOT saw substantial growth, with Euro/Yen, Euro/Pound, Euro/Swiss and many others setting new records. The Exchange began trading the FINEXÂ® Euro Currency Index (ECX, symbol E) futures and options index contracts on January 13, 2006.