John
Lothian's Daily Futures & Securities Industry Newsletter
January 29, 2003
Lead Stories
American Stock Exchange Celebrates 10 Years of the SPDR (PR Newswire)
With assets topping more than $35 billion and average daily trading of 34
million shares, the American Stock Exchange (Amex) today celebrates the 10-year
anniversary of the start of trading in its flagship exchange traded fund , SPDR
- Standard & Poor's Depositary Receipts .
http://biz.yahoo.com/prnews/030129/nyw033_1.html
US
options markets seek end to payment for orders
http://www.forbes.com/home_europe/newswire/2003/01/28/rtr861938.html
Bush
Nominates Donaldson to Chair SEC
WASHINGTON (Reuters) - President Bush on Tuesday formally nominated Wall Street
banker William Donaldson to be chairman of the Securities and Exchange
Commission, sending his nomination papers to the Senate, the White House said.
http://story.news.yahoo.com/news?tmpl=story&u=/nm/20030128/pl_nm/financial_sec_donaldson_dc_2
NYBOT’S
Sugar No. 11 Contract Continues Record Pace
http://www.nybot.com/pressRelease.asp?releaseID=541
Exchange
News
CBOT
Enhances Liquidity In Agency Futures
http://www.riskcenter.com/cgi-bin/article.pl?id=6134
CBOT
To Launch Fed Fund Options Contracts
http://www.riskcenter.com/cgi-bin/article.pl?id=6130
CBOT
to Launch Fed Fund Options Contract - 01.28.2003
The new contract
will begin trading on Friday, March 14, in the open auction marketplace.
CBOT
Appoints ABN AMRO as Agency Futures Market Makers - 01.28.2003
CBOT enhances liquidity in Agency Futures with apppointment of ABN AMRO as
market maker.
http://www.cbot.com/cbot/www/cont_detail/0,1493,10+24+109+10820,00.html
Wash
Trades on a/c/e Prohibited - 01.29.2003
Exchange rules and regulations prohibit the knowing execution of transactions
that result in no change of ownership.
http://www.cbot.com/cbot/www/cont_detail/0,1493,10+24+268+10831,00.html
Regulation
350.04 - Assignment Trades - 01.29.2003
http://www.cbot.com/cbot/www/cont_detail/0,1493,10+24+268+10832,00.html
CBOT/
Dow Jones Strike Price Notice January 28, 2003 - 01.28.2003
http://www.cbot.com/cbot/www/cont_detail/0,1493,10+24+268+10822,00.html
DJ-AIG
CI 2002 Performance Overshadows Equities - 01.28.2003
CBOT DJ-AIGCI Contract Sets Open Interest Record
http://www.cbot.com/cbot/www/cont_detail/0,1493,10+24+null+10485,00.html
UBS
to list Fresco DJ EURO STOXX 50 Bees tracker on EURONEXT
http://www.euronext.com/en/euronext_org/news/press_releases/news.jsp?news.id=16196&lang=EN&isin="etype=STOCKQUOTE
Toronto
Stock Exchange Helps To Raise $40,000 At Junior Achievement / TSX Stock Market
Challenge
http://www.tse.com/en/mediaNews/newsreleases/news3911.html
CBOE
to List LEAPS on Action Performance Companies, Inc. (ATN) on January 30
CHICAGO, January 29, 2003 -- The Chicago Board Options Exchange (CBOE) today
announced it will list Long-term Equity AnticiPation Securities (LEAPS) on
Action Performance Companies, Inc. (ATN) beginning Thursday, January 30,
2003. LEAPS are stock options with a maturity date of up to three years
in the future. Action Performance Companies, Inc. will have strike prices
of 10, 15, 20 and 25, with expirations in January 2004 (KGR). (NOTE:
Strike prices are subject to change based on the price of the underlying
security.) Trading hours are 8:30 a.m. to 3:02 p.m. Chicago time.
CBOE also lists LEAPS on the following indexes: Dow Jones Industrial Average
Index (DJX); S&P 100 Index (OEX and XEO); S&P 500 Index (SPX); The
Russell 2000 Index (RUT); as well as LEAPS on the CBOE Mexico, Technology,
Internet and Oil indexes, and on CBOE interest rate products.
New
Listing Maxtor Corporation
http://www.cboe.com/common/PageViewer.asp?FILE=03%2D034%2Edoc&DIR=TTNewLS&HEAD=New+Listings+%26amp%3B+Series
Regulatory
News
The SEC News Digest
http://www.sec.gov/news/digest/dig012803.txt
Securities
Regulators Offer Tips for Canadians with Post-Holiday Money Worries
http://www.bcsc.bc.ca/news/NR03_09-CSA.asp
SEC
to Consider More Mutual Fund Reforms (AP)
... planned actions
by the Securities and Exchange Commission came less than a week after the SEC
voted, over industry objections, to force mutual funds to tell investors how
they voted on...
http://story.news.yahoo.com/news?tmpl=story&u=/ap/20030129/ap_on_bi_ge/sec_mutual_funds_3
Reports
Bond
Talk Today's Events
http://www.bondtalk.com/global.cfm?S=todaysevents
Miscellaneous
News
Cain
Joins Salomon Smith Barney’s Chicago Futures Office
http://www.hedgeworld.com/news/read_news.cgi?section=what&story=what13467.html
Fimat
Structuring Volatility Arbitrage Index
http://www.hedgeworld.com/news/read_news.cgi?section=intl&story=intl9395.html
The
Ins and Outs of Currency Hedging
http://biz.yahoo.com/ms/030129/86065_1.html
Duke
Energy Posts Loss, Hurt by Trading (Reuters)
Duke Energy Corp. on Tuesday reported a fourth-quarter loss as the
energy-trading business cut into profits, and the company said it would look to
power distribution and natural gas transmission for most of its future
earnings.
http://story.news.yahoo.com/news?tmpl=story&u=/nm/20030128/bs_nm/utilities_duke_earns_dc_4
TradeStation
Group Preannounces Fourth Quarter Results of $.05 Per Share, Significantly
Higher Than Previously Estimated (PR Newswire)
...TradeStation is an electronic trading platform that enables clients to
design, test and monitor their own custom trading strategies......The trading
platform currently offers streaming real-time equities, options, and futures
market data....... forward-looking statements are based largely on current
expectations and beliefs concerning future events that are subject to
substantial risks and uncertainties....... uncertainties indicated from time to
time in the company's filings with the Securities and Exchange Commission
including, but not limited to, the company's Annual Report on Form 10-...
http://biz.yahoo.com/prnews/030129/flw001_1.html
E(x)TRADE
Canada announces agreement to acquire Sun Life Securities brokerage accounts
(Canada NewsWire)
..."For E(x)TRADE Canada, one of Canada's leading electronic trading
businesses for consumers, corporations/employees and institutional
brokers/dealers,...... to delight all of our newly acquired Sun Life Securities
customers and all the future Sun Life Financial client referrals.......
E(x)TRADE Canada Securities Corporation (discount broker), a member of the TSX,
the TSX Venture Exchange, the Montreal Exchange, the Investment Dealers
Association and the Canadian Investor Protection...... Services of Canada Inc.
trades on the Toronto (TSX), New York (NYSE) and Philippine (PSE) stock
exchanges under ticker symbol "SLF"....
http://biz.yahoo.com/cnw/030128/e_trade_sun_life_deal_1.html
Hedge
Funds for Pension Funds
http://www.iqpc.co.uk/GB-1967/E
New
York Hedge Funds Care Benefit Set for Feb. 3
http://www.hedgeworld.com/news/read_news.cgi?section=dail&story=dail9676.html
Cargill
renews its commitment to Farm Safety for Just Kids
http://www.cargill.com/today/releases/2003/03_01_28kids.htm
OM
AB - Financial Statement 2002
http://domino.omgroup.com/www/OMBulletinBoard.nsf/OMPortalNewsRef/EE78E80C7A00AACFC1256CBD00255B78?OpenDocument
Opex
exchange selects Elind for online trading
Opex, a new electronic communications network (ECN) based in Portugal, has
contracted with India's Elind Computers for the supply and implementation of an
online trading platform and Web- based IPO allocation system.
http://www.finextra.com/fullstory.asp?id=7855
Broker
Says Ganim Rigged Bond Sale Says Mayor Stood To Profit From Funding Pensions
NEW HAVEN -- A former stockbroker Tuesday said Bridgeport Mayor Joseph P. Ganim
manipulated what was to have been the most expensive municipal bond sale in
state history, to allow the mayor to secretly profit from millions of dollars
in potential sales commissions.
http://www.ctnow.com/news/custom/newsat3/hc-ganim0129.artjan29,0,217529.story?coll=hc-headlines-newsat3
Raiding
costly for Hilliard Lyons Rival awarded $22 million over broker hirings
Louisville-based Hilliard Lyons has been ordered to pay $22 million over a
claim that it raided a Michigan brokerage firm by hiring about 50 of its
brokers.
http://www.courierjournal.com/business/news2003/01/29/bu012903s357563.htm
John's
Comments
Globex
Rules, EAGLE Eye View is Cool
For the
third day in a row Globex traded higher volume than the CME's open outcry
trading pits. Yesterday there were 1,082,643 contracts traded on the
Globex electronic matching engine, including 9532 Eurodollar futures traded
on the EAGLE version of Globex. Yesterday's open outcry volume
was 989,505 contracts. http://www.cme.com/wrappedpages/dbulletins_gbulletins/B2003018PG1.cfm
The CME set
a daily volume record in the emini Russell at 11,256 contracts traded
yesterday and traded 41 Lean Hog contracts on Globex.
Today I set
up Eurodollar futures on my PATS JTrader to see the tightness of the markets
and the implied spreads. I see 1 to 3 tick markets with up to 250
contracts on the best bid or offer for the first three contract months.
The implied spreads with depth on the Matrix screen of JTrader is very
cool. Actually, it is better than that. This transparency, ease of
trade and quick fills and order management is a tremendous advantage for the
off the floor trader. There appears to be market makers making two sided
markets, which must be right in line with the pit given the tightness of the
bids and offers. Thus, this is unprecedented transparency for the off the
floor trader into what is happening in the pit. I am impressed.
*************
Mini
Dow Record Record Broken
The Chicago
Board of Trade did NOT set a new volume record in the Mini Dow contract, but
still had one of its highest volume days at 26,897 contracts
traded. The Mini Dow continued its start of the year dominance over the
mostly pit traded $10 multiplier Dow contract.
Mini sized
New York Gold futures at the CBOT had an above average day with 364 contracts
traded.
|
Commodity |
a/c/e |
Open Outcry |
Total Exch |
Cash |
Give |
Trans |
Open Interest |
|
|
At Close |
Change |
|||||||
|
Dow Jones Industrial Average |
945 |
19878 |
20823 |
0 |
3159 |
0 |
27606 |
-843 |
|
Dow Jones AIG Commodity Index |
2 |
0 |
2 |
0 |
0 |
0 |
1418 |
Unch |
|
CBOT mini-sized Dow Futures $5
multiplier |
26897 |
0 |
26897 |
0 |
1799 |
16 |
14566 |
-182 |
|
Commodity |
a/c/e |
Open Outcry |
Total Exch |
Cash |
Give |
Trans |
Open Interest |
|
|
At Close |
Change |
|||||||
|
mini-sized New York Gold |
364 |
0 |
364 |
0 |
0 |
0 |
553 |
-202 |
|
mini-sized New York Silver |
44 |
0 |
44 |
0 |
2 |
0 |
386 |
-24 |
*************
SSF
Review
Nasdaq
Liffe Markets traded 8002 single stock futures yesterday, with open interest
increasing 672 to 24,090. OneChicago traded 6750 contracts yesterday,
with open interest increasing 1875 to 56,637.
Regards,
John J.
Lothian
President
Electronic
Trading Division
The Price
Futures Group, Inc.
Chicago
Board of Trade Building
141 West
Jackson Blvd., Suite 1340A
Chicago,
IL 60604
Ph:
1-800-713-0215 or 312-648-2426
Fax:
312-902-6437
email: jlothian@pricegroup.com
URL: www.pricegroupetd.com or www.pricegroup.com
Disclaimer:
This letter is strictly the opinion of its writer, and not necessarily those of
The Price Group and its management, and is intended solely for informative
purposes and is not to be construed, under any circumstances, by implication or
otherwise, as an offer to sell or a solicitation to buy or trade in any
commodities or securities herein named. Information is obtained from sources
believed to be reliable, but is in no way guaranteed. No guarantee
of any kind is implied or possible where projections of future conditions are
attempted. Security futures are not suitable for all customers.
Futures and
options trading involve risk. Past results are no indication of future
performance.