The National
Cattlemen’s Beef Association is not impressed by changes the Chicago Mercantile
Exchange Group has proposed to address concerns about wild price fluctuations.
The CME Group has
proposed shorter trading hours.
But the cattlemen
say that does not address their concerns.
They listed five
of them in an open letter to the CME Group and say shorter trading hours is not
on the list, nor were they consulted before the CME Group made its announcement
this week.
The five issues
they raised are:
1. Implementing messaging
standards similar to other commodities
2. Introducing latency
(brief one second delays) in trade
3. “Spoofing” by traders
to manipulate markets
4. The release of audit
trail data for analysis
5. Better reporting of
trade violators and market misuse.
