Micro Copper Futures to launch May 2, 2022

[tiddlywinks]

Hedge your US copper pennies hoard!!

CHICAGO, April 5, 2022 /PRNewswire/ -- CME Group, the world's leading derivatives marketplace, today announced that it will expand its suite of micro metals products with the launch of Micro Copper on May 2, 2022, pending regulatory review.

https://www.cmegroup.com/media-room..._group_to_launchmicrocopperfuturesonmay2.html


Micro copper landing page...
https://www.cmegroup.com/markets/metals/base/micro-copper.html

 

[maxinger]

What a strange foolish plan.

The mini copper futures volume is almost zero.
Because big and small traders are only interested to trade the full size contract.

So
Why bother to launch micro copper futures?
Cme must understand why the mini volume is so pathetic first.

 

[Overnight]

What a strange foolish plan.

The mini copper futures volume is almost zero.
Because big and small traders are only interested to trade the full size contract.

So
Why bother to launch micro copper futures?
Cme must understand why the mini volume is so pathetic first.

Part of it is that the mini copper is twice the tick value of the full-size. $25 v. $12.50 for the full size, and thus has less granularity. .002 v. .0005.

The same thing goes on with products like GC v. minY gold (QO) v. MGC, or CL v. mini CL (QM) and MCL.

 

[clacy]

All futures will have a micro version in the next 5 years

 

[Big AAPL]

All futures will have a micro version in the next 5 years

Agreed. GREED being the operative word. It would be prudent to follow the volume for newbie traders.

 

[newbunch]

All futures will have a micro version in the next 5 years

I wish there were a micro 30-year bond future. I can trade the 2- and 5- year futures, but the longer maturity bonds are beyond my reach.

 

[maxinger]

full-size copper futures ave volume - 50 000 / day

mini copper futures daily volume - 200 / day only! <<< very pathethic!

micro copper futures daily volume - ???

big & small traders are simply not interested to trade the minis.
so who is the target audience for the micro copper futures?

 

[maxinger]

All futures will have a micro version in the next 5 years

This might happen if the Exchange does things blindly.

not all minis/micros are successful.
eg
Nikkei mini, CAC40 mini
AND ALSO copper mini have almost zero volume

 

[Overnight]

full-size copper futures ave volume - 50 000 / day

mini copper futures daily volume - 200 / day only! <<< very pathethic!

micro copper futures daily volume - ???

big & small traders are simply not interested to trade the minis.
so who is the target audience for the micro copper futures?

All I know, based on past rollouts, is the the micro version will eventually have more volume than the mini version.

 

[clacy]

I wish there were a micro 30-year bond future. I can trade the 2- and 5- year futures, but the longer maturity bonds are beyond my reach.

They do have a 30 year yield micro contract, but not sure about volume or why they chose to do the yield version instead of the bond price version.

I guess you could also spread the ultra bond with the 30 year standard contract to size down.