CME Launches Single-Stock Futures for SpaceX, Micron, and 53 Other US Stocks

CME Group, the world's largest derivatives exchange, on May 27 (US local time) launched single-stock futures trading on 55 major US stocks including SpaceX and Micron Technology, according to CNBC. The Chicago Mercantile Exchange introduced cash-settled single-stock futures contracts alongside micro contracts covering 22 stocks. The new products enable investors to trade major US equities nearly around the clock on CME's Globex platform.

CME Introduces Cash-Settled Futures and Micro Contracts

CME Group launched cash-settled single-stock futures on 55 major US stocks and micro contract products on 22 stocks. Micro contracts represent one-tenth the size of standard contracts, covering 10 shares instead of 100 shares. The smaller contract size allows retail investors to participate with lower margin requirements.

Trading Available 23 Hours Daily on Globex Platform

The new products trade on CME's Globex platform 23 hours per day, five days per week, from Sunday evening through Friday afternoon, with one hour of daily maintenance downtime. The extended trading hours enable investors to respond immediately to earnings announcements or unexpected economic events outside regular US stock market hours.

SpaceX and Major Tech Stocks Included in Initial Lineup

The initial listing includes SpaceX, which recently attracted attention through a major initial public offering, along with Micron Technology, NVIDIA, Tesla, and Apple. CME stated the single-stock futures were designed to express bullish or bearish views more simply than options trading.

Futures Offer Simpler Structure Than Options Trading

Unlike options, the single-stock futures carry no risk from time value decay or changes in implied volatility. The products feature margin trading that creates leverage effects with smaller capital. Final settlement occurs in cash based on the official stock price on the expiration date.

FAQ

What did CME Group launch on May 27?

CME Group launched single-stock futures trading on 55 major US stocks and micro contracts on 22 stocks on May 27 (US local time).

How many hours per day can investors trade these new CME stock futures?

Investors can trade the new single-stock futures 23 hours per day, five days per week on CME's Globex platform, with one hour of daily maintenance downtime.

Which major companies are included in CME's new single-stock futures lineup?

The initial lineup includes SpaceX, Micron Technology, NVIDIA, Tesla, and Apple among the 55 US stocks available for futures trading.