[Federal Register Volume 59, Number 123 (Tuesday, June 28, 1994)]
[Unknown Section]
[Page ]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 94-15603]


[Federal Register: June 28, 1994]


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COMMODITY FUTURES TRADING COMMISSION


Proposed Amendments Relating to the CME's Domestic Stock Index 
Futures Contracts

AGENCY: Commodity Futures Trading Commission.

ACTION: Notice of Proposed Contract Market Rule Changes.

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SUMMARY: The Chicago Mercantile Exchange (CME) has submitted proposed 
rule amendments to the opening price limit provisions in its domestic 
stock index futures contracts. Under the proposal, each domestic stock 
index futures contract's opening price limit would not be in effect on 
any day when the closing price of the preceding Globex trading session 
is outside the price range that would be permitted under that 
contract's opening price limit provisions.\1\
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    \1\The affected CME domestic stock index futures contracts are 
in the Standard and Poor's 500 Stock Price Index (S&P 500), the 
Standard and Poor's MidCap 400 Stock Price Index, the Russell 2000 
Stock Price Index, and the Major Market Index.
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    In accordance with Section 5a(a)(12) of the Commodity Exchange Act 
and acting pursuant to the authority delegated by Commission Regulation 
Sec. 140.96, the Director of the Division of Economic Analysis 
(Division) on behalf of the Commission has determined that publication 
of the proposal is in the public interest and will assist the 
Commission in considering the views of interested persons. On behalf of 
the Commission, the Division is requesting comment on this proposal.

DATES: Comments must be received on or before July 28, 1994.

ADDRESSES: Interested persons should submit their views and comments to 
Jean A. Webb, Secretary, Commodity Futures Trading Commission, 2033 K 
Street NW, Washington, DC 20581. Reference should be made to the 
amendments to the CME domestic stock index futures contracts.

FOR FURTHER INFORMATION: Contact Stephen Sherrod, Division of Economic 
Analysis, Commodity Futures Trading Commission, 2033 K Street NW, 
Washington, DC 20581, telephone 202-254-7303.

SUPPLEMENTARY INFORMATION: The overnight Globex session in the S&P 500 
futures contract ends at 9:00 a.m. Eastern time.\2\ The following 
regular trading session begins at 9:30 a.m. The price limit in effect 
at the end of the Globex session is 12 S&P 500 points above or below 
the previous day's settlement price. (Twelve S&P 500 points are 
equivalent to about 100 points in the Dow Jones Industrial Average 
(DJIA).) The opening price limit in effect at the beginning of the 
regular trading session is five S&P 500 points above or below the 
previous day's settlement price (equivalent to about 40 points in the 
DJIA). This price limit remains in effect until 9:40 a.m. Thus, the 
price limit in the S&P 500 futures contract during the preceding Globex 
session is wider than that in effect during the open of the following 
regular trading session.
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    \2\In general, both the current and proposed provisions in the 
other CME domestic stock index futures contracts are analogous to 
those in the S&P 500 futures contract.
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    The CME proposes that the S&P 500 futures contract's opening price 
limit not be in effect on any day that the closing price of the 
preceding Globex trading session is more than five points above or 
below the previous day's settlement price. According to the CME, this 
proposal will improve coordination between the opening and Globex price 
limits on days when the closing price on Globex exceeds the opening 
price limit.
    Copies of the proposed amendments will be available for inspection 
at the Office of the Secretariat, Commodity Futures Trading Commission, 
2033 K Street, N.W., Washington, D.C. 20581. Copies of the proposed 
rule amendments can be obtained through the Office of the Secretariat 
by mail at the above address or by phone at (202) 254-6314.
    The materials submitted by the CME in support of the proposed 
amendments may be available upon request pursuant to the Freedom of 
Information Act (5 U.S.C. 552) and the Commission's regulations 
thereunder (17 CFR Part 145 (1987)). Requests for copies should be made 
to the FOI, Privacy and Sunshine Act Compliance Staff of the Office of 
the Secretariat at the Commission's headquarters in accordance with 17 
CFR 145.7 and 145.8.
    Any person interested in submitting written data, views, or 
arguments on the proposed amendments should send such comments to Jean 
A. Webb, Secretary, Commodity Futures Trading Commission, 2033 K 
Street, NW, Washington, DC 20581 by the specified date.

    Issued in Washington, DC, on June 22, 1994.
Blake Imel,
Acting Director.
[FR Doc. 94-15603 Filed 6-27-94; 8:45 am]
BILLING CODE 6351-01-P