Futures Questions

J

J-S

Hi I've got a few questions - many thanks if anyone can help.

Which Nikkei futures contract is best to trade - 225 or 300? Is one more liquid than another?

Also can anyone help me understand the difference between T-Bills, T-Notes and T-Bonds? Also what the british LIBOR is too?

thanks in advance

J-S
 
Check the CME and CBOT websites for detailed information about the contracts and you should find the info.

As far as liquidity - compare the average daily trading volume of the contracts and that should tell you which is more liquid.
 
A Treasury Bill is a US Government issued security that matures in 1 year or less. A T-Bill sells initially at a discount from par. The interest is the difference between what you pay and the face value that you get at maturity.
A Note matures in less than 10 years but more than 1. A Bond has a maturity of 10 to 30 years. They both pay interest twice yearly. The only difference between Notes and Bonds are the initial length to maturity.
 
LIBOR is the London Inter-Bank Offered Rate. The rate is usually similar to that of the 1 year Treasury Security Index.
It is the rate that banks will pay to borrow money from other banks. Similar to what in the US is called the Fed Funds Rate.
 
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