Cantor Exchange Submits Block Trading Rules to CFTC.NEW YORK--(BUSINESS WIRE)--Sept. 28, 1999-- The Cantor Exchange (CX) today announced that it has submitted proposed "Block Trading Rules" to the Commodity Futures Trading Commission The Commodity Futures Trading Commission (CFTC), the federal regulatory agency for futures trading, was established by the Commodity Futures Trading Commission Act of 1974 (88 Stat. 1389; 7 U.S.C.A. 4a), approved October 23, 1974. (CFTC CFTC See: Commodity Futures Trading Commission CFTC See Commodity Futures Trading Commission (CFTC). ). If approved, these rules should have a dramatically positive impact on the way Treasury futures are traded in the U.S., and make CX the first exchange to offer block trading of U.S. Treasury U.S. Treasury Created in 1798, the United States Department of the Treasury is the government (Cabinet) department responsible for issuing all Treasury bonds, notes and bills. Some of the government branches operating under the U.S. Treasury umbrella include the IRS, U.S. futures. Recently, CX also became the first exchange to offer a cross-margining program between U.S. Treasury securities U.S. Treasury securities Interest-bearing obligations if the U.S. government issued by the U.S. Department of the Treasury as a means of borrowing money to meet government expenditures not covered by tax revenues. and related futures products. The proposed block trading facility initially provides for trades of 50 contracts or more to be executed directly between designated market makers and other qualifying firms. It will enable market participants to access the market after hours, and to facilitate the execution of large transactions with minimal impact on prices. The rules require that all trades be reported to CX, which will in turn report them to the marketplace, ensuring that price transparency Price Transparency The accessibility of information on the order flow for a particular stock, allowing knowledge of the quantities of stock being offered and the bids at the various price levels. Also referred to as "market depth. is maintained and enhanced. Howard W. Lutnick, Chairman and CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. of Cantor Fitzgerald, L.P. and Co-Chairman of the Cantor Exchange said, "Block trading will benefit institutional firms by giving them the opportunity to trade futures with the same level of risk protection they have come to expect in the cash markets. This alternative means of trading will enable dealers to be market makers in both cash and futures, further stimulating liquidity to the benefit of all market participants." Albert M. Weis, Chairman of the New York Board of Trade and Co-Chairman of the Cantor Exchange said, "International exchanges, which offer block trading, are now extending their product ranges and their reach into U.S. markets. It is essential that U.S. financial futures exchanges offer block trading in order to effectively service their customers and maintain their competitiveness in the global markets." The first full-time electronic exchange for the trading of U.S. Treasury futures contracts, CX utilizes a patented Interactive Matching(sm) technology and is built upon the eSpeed proprietary trading platform. Since trade execution on CX is electronic, customers can execute trades more quickly and more cost effectively than ever before. CX also offers a number of innovative Market Maker Incentive Programs which further add to the cost efficiency of trading on CX. To learn more about these programs, visit the CX website at http:cx.cantor.com. The Cantor Exchange is a joint venture of Cantor Fitzgerald and the New York Board of Trade (NYBOT NYBOT See New York Board of Trade (NYBOT). ). The NYBOT is responsible for self-regulatory oversight and clearing of all trades executed on CX. Cantor Fitzgerald operates the trading platform for CX, utilizing the trading and distribution systems that have been developed in Cantor Fitzgerald's highly liquid U.S. Treasury cash market. In the United States, securities activities are conducted by Cantor Fitzgerald Securities, Cantor Fitzgerald & Co. and Cantor Fitzgerald Partners, each of which is a registered broker-dealer and member of the National Association of Securities Dealers National Association of Securities Dealers (NASD) Nonprofit organization formed under the joint sponsorship of the investment bankers' conference and the SEC to comply with the Maloney Act, which provides for the regulation of the OTC market. , Inc. Cantor Fitzgerald & Co. and Cantor Fitzgerald Partners are members of SIPC (Simply Interactive PC) An earlier umbrella term from Microsoft and Intel for a PC that works like a home appliance. For example, it has a sealed case, uses external connectors for expansion and boots in just a couple of seconds. . Approved for distribution in the UK by Cantor Fitzgerald International, which is regulated by the Securities and Futures Authority Ltd. |
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