CME Group launched Six NEW E-mini Sector Index Futures to provide new opportunities and greater versatility in managing sector exposure. The six new sectors are Regional Banks, Insurance, Biotechnology, Oil & Gas Exploration & Production, Retail, and PHLX Semiconductor (SOX).
Tim McCourt, Global Head of Equity and FX Products at CME Group joins us today to discuss all these new products. If you’re an active trader or investor you don’t want to miss this episode.
In this episode
- Why CME Group launched six sector contracts at once, and what “index choice matters” means in practice
- The six contracts: E-mini S&P Regional Banks, Insurance, Biotechnology, Oil & Gas Exploration & Production, Retail, and the E-mini PHLX Semiconductor (SOX)
- What they share — five quarterly expirations on the March/June/September/December cycle, Sunday-to-Friday access, and Section 1256 eligibility as broad-based index contracts
- Why multipliers and tick sizes differ from one sector to the next
- Whether more sector choice pulls activity away from the parent indices, and how to trade a sector against its parent
- What it opens up for ETF and equity traders: capital efficiency, margin offsets, and hedging without liquidating a physical position
- Precision hedging in biotech and semiconductors rather than proxying with the Nasdaq
- Liquidity at launch — market maker support, block trade eligibility, and EFPs against ETFs
- A record second quarter at CME, including 13.3 million equity index futures in a single day on 13 June and Micro E-mini’s strongest month in May
- Five years since the Russell 2000 returned to CME, and its best day ever at roughly 841,000 contracts
- Equity options up 92% year over year — and why Anthony reads all that hedging as a reason the market never delivered a V-bottom
To learn more about the 6 New E-mini Sector Index Futures Please Click Here!
Futures Radio is a weekly Futures Trading Podcast hosted by 24-year futures veteran and CME member Anthony Crudele, an ex-pit trader and one of the first to trade the E-Mini S&P. Each week Anthony talks with traders, CEOs, and other proven market participants about relevant trading and investing information. Past Performance is not indicative of future results. Derivatives trading is not suitable for all investors.
