CME Cautions on Regulatory and Clearing Risks in U.S. Treasury Markets
"My concern was that futures expire into cash. So what's the difference between a future and the cash market once expiration happens on the future? Why wouldn't you treat them the same? ... My issue is the U.S. ... should have the laws of its foreign sovereign debt be by the laws of that nation. And we don't have that in this particular situation."
— Terry Duffy
Terry Duffy voices concerns regarding the regulatory framework and clearing process for U.S. Treasury futures, highlighting that clearing these contracts under U.K. law could expose U.S. markets to risks. He stresses the importance of aligning product regulation with domestic legal frameworks to protect market integrity.
Company CommentaryBearish
Medium ConvictionScore: 7.5
Regulatory Insight •Odd Lots • 24 days ago
CME Partners with FanDuel for Retail Event Contracts
"So today FanDuel is set up a little bit different than some of their competitors. They don't have one app for all different services... And then you'll see in there, we'll have potentially three to four event contracts a day per asset class. The events will go on for approximately 60 minutes. And then we will say, will the price of gold be above or below $3,700 an ounce? ... And that will run five days a week for markets."
— Terry Duffy
Terry Duffy explains CME's new partnership with FanDuel, which will offer binary, one-hour event contracts on various asset classes like gold, crude oil, and the S&P 500. This initiative is designed to democratize access by enabling retail investors to participate with smaller contract sizes, leveraging technology to bridge the gap between traditional trading and speculative gaming markets.
Company CommentaryBullish
High ConvictionScore: 8.0
Sector Trend •Odd Lots • 24 days ago