ELX Futures Exchange

Quote from Bernard111:

If ELX does not switch to 30Y full tick, they could gain some attention from black boxes arbing vs. CME 30 full tick.

But 30Y is not enough to re-create the Tsy mkt...
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Probably won't be enough there (in ELX) to create an opportunity or to be worthy of the investment.
 
The day this exchange was announced (I think in 12/07), CME stock broke $30 AH and has never seen those prices again.

Look at the "partners" who formed this exchange and then tell me what % of CME interest rate volume you think they do each day.

http://www.elxfutures.com/About-ELX/Founding-Firms.aspx

ELX was created by leading financial institutions, including nine dealers; three trading firms; and a major electronic and voice broker and technology provider to establish a world-class futures exchange focused on providing low-cost execution, competition and liquidity in the interest rate futures space. These founding firms include Bank of America, Barclays Capital, BGC Partners, Breakwater, Citi, Credit Suisse, Deutsche Bank Securities, GETCO, Goldman Sachs, JPMorgan, Merrill Lynch, PEAK6 and The Royal Bank of Scotland.
 
Quote from Pa(b)st Prime:

The day this exchange was announced (I think in 12/07), CME stock broke $30 AH and has never seen those prices again.

Look at the "partners" who formed this exchange and then tell me what % of CME interest rate volume you think they do each day.

http://www.elxfutures.com/About-ELX/Founding-Firms.aspx

ELX was created by leading financial institutions, including nine dealers; three trading firms; and a major electronic and voice broker and technology provider to establish a world-class futures exchange focused on providing low-cost execution, competition and liquidity in the interest rate futures space. These founding firms include Bank of America, Barclays Capital, BGC Partners, Breakwater, Citi, Credit Suisse, Deutsche Bank Securities, GETCO, Goldman Sachs, JPMorgan, Merrill Lynch, PEAK6 and The Royal Bank of Scotland.
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Well, I guess whatever percentage they do on CME doesn't really matter because they sure as shit didn't do it on ELX today.
 
Quote from BondTrader50:

Well, I guess whatever percentage they do on CME doesn't really matter because they sure as shit didn't do it on ELX today.
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This is the kind of thing that could take a long, long time. But for the first time ever, I fear this exchange as a bona fide competitor to Chicago. That e-speed platform does a lot of cash business every day, so it's not foreign to Bond traders. Personally though I just don't see a compelling need for a rival interest rate exchange. Treasury fees on Globex are downright cheap compared to everything else in America.
 
ELX was created to facilitate the cash/futures spread (i.e.exchange guarantee). It wasn't created for pikers trading 5 lots.

There are some big players who will try their best to make this endeavor successful.

I wouldn't short it.
 
the elx seems to be doing the most volume in the five year. they have about 5-6% share in the five year but only around 2% in the 10/30y markets.

I hope they fail for two reasons.

1. My cbot am seat would be near worthless
2. The elx isnt curently using full ticks in its 30Y contract. (the cme soon will be)

reason #2 is more important to me.

I wonder what there break even market share is? Or how many total contracts a day do they need to make them profitable.
 
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