[Federal Register Volume 65, Number 15 (Monday, January 24, 2000)]
[Notices]
[Pages 3668-3669]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 00-1567]


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COMMODITY FUTURES TRADING COMMISSION

RIN 3038-ZA04


Chicago Mercantile Exchange: Proposed Amendments to the Live 
Cattle Futures and Option Contracts Increasing the Contracts' 
Speculative Position Limits

AGENCY:  Commodity Futures Trading Commission.

ACTION:  Notice of availability of proposed amendments to contract 
terms and conditions.

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SUMMARY:  The Chicago Mercantile Exchange (CME or Exchange) has 
proposed amendments to the Exchange's live cattle futures and option 
contracts. The proposed amendments would increase to 3,200 contracts 
from 2,400 contracts the speculative position limit applicable to 
individual non-spot months. The proposed amendments also would increase 
to 900 contracts from 600 contracts the speculative position limit 
applicable to positions held in the expiring contract month from the 
close of business on the business day following the first Friday of the 
contract month to the business day preceding the last five trading days 
of the expiring month. The proposed amendments were submitted under the 
Commission's 45-day Fast Track procedures which provides that, absent 
any contrary action by the Commission, the proposed amendments may be 
deemed approved on February 24, 2000--45 days after the Commission's 
receipt of the proposals. The Acting Director of the Division of 
Economic Analysis (Division) of the Commission, acting pursuant to the 
authority delegated by Commission Regulations 140.96, has determined 
that publication of the proposed amendments is in the public interest, 
will assist the Commission in considering the views of interested 
persons, and is consistent with the purposes of the Commodity Exchange 
Act.

DATES:  Comments must be received on or before February 8, 2000.

ADDRESSES:  Interested persons should submit their views and comments 
to Jean A. Webb, Secretary, Commodity Futures Trading Commission, Three 
Lafayette Centre, 21st Street, NW, Washington, DC 20581. In addition, 
comments may be sent by facsimile transmission to facsimile number 
(202) 418-5521, or by electronic mail to [email protected]. Reference 
should be made to the proposed amendments to the speculative position 
limits for the CME live cattle futures and option contracts.

FOR FURTHER INFORMATION CONTACT:  Please contact John Bird of the 
Division of Economic Analysis, Commodity Futures Trading Commission, 
Three Lafayette Centre, 21st Street, NW, Washington, DC 20581, 
telephone (202) 418-5274. Facsimile number: (202) 418-5527. Electronic 
mail: [email protected].

SUPPLEMENTARY INFORMATION:  The live cattle futures calls for delivery 
of 40,000 pounds of live steers at specified CME-approved livestock 
yards located in Iowa, Kansas, Oklahoma, Texas, New Mexico and Colorado 
or, at the delivery receiver's request, at CME-approved cattle 
slaughter plants located near the CME-approved livestock yards. The 
live cattle futures option contract is exercisable into the futures 
contract and option contract months expire prior to the last five 
trading days for the underlying futures contract month (the last 
trading day for expiring contract months is the last business day of 
the month). Non-delivery period option contract months expire on the 
last Friday of the month and delivery period options expire on the 
business day preceding the last nine business days of the underlying 
futures contract month. Currently, traders' combined positions in the 
futures and option contracts are subject to speculative position limits 
of 2,400 contracts in individual non-spot contract months and 600 
contracts commencing at the close of business on the business day 
following the first Friday of the contract month. In addition, 
positions in the expiring futures contract month are subject to a 
speculative position limit of 300 contracts during the last five 
trading days of the expiring contract month.
    The proposed amendments would increase to 3,200 contracts from 
2,400 contracts the speculative position limit applicable to combined 
futures and option positions in individual non-spot months. The 
proposed amendments also would increase to 900 contracts from 600 
contracts the speculative position limit applicable to combined futures 
and option positions held in the expiring contract month from the close 
of business on the business day following the first Friday of the 
contract

[[Page 3669]]

month to the business day preceding the last five trading days of the 
expiring month. The speculative position limit applicable to futures 
positions during the last five trading days of the futures contract 
would remain unchanged at 300 contracts.
    The CME intends to make the proposed amendments effective upon 
Commission approval for all existing and newly listed contract months 
beginning with the April 2000 contract month.
    The Commission is requesting comments on the proposed amendment.
    Copies of the proposed amendments will be available for inspection 
at the Office of the Secretariat, Commodity Futures Trading Commission, 
Three Lafayette Centre, 21st Street, NW, Washington, DC 20581. Copies 
of the proposed amendments can be obtained through the Office of the 
Secretariat by mail at the above address, by phone at (202) 418-5100, 
or via the Internet at [email protected].
    Other materials submitted by the Exchange in support of the 
proposal 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)), except to the extent they are 
entitled to confidential treatment as set forth in 17 CFR 145.5 and 
145.9. Requests for copies of such materials should be made to the FOI, 
Privacy and Sunshine Act Compliance Staff at the Office of 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, or with respect to other 
materials submitted by the Exchange, should send such comments to Jean 
A. Webb, Secretary, Commodity Futures Trading Commission, Three 
Lafayette Centre, 21st Street, NW, Washington, DC 20581 by the 
specified date.

    Issued in Washington, DC, on January 14, 2000.
Richard Shilts,
Acting Director.
[FR Doc. 00-1567 Filed 1-21-00; 8:45 am]
BILLING CODE 6351-01-M