CME Group Stock Price, News & Analysis

CME Group has declared an annual variable dividend of $3.25 per share, totaling approximately $1.2 billion. This dividend will be payable on January 14, 2022, to shareholders recorded by December 28, 2021. Including this announcement with the previous $0.90 dividend for Q4 2021, the total yield for 2021 is 3.3%. Since implementing this structure in February 2012, CME Group has returned over $17 billion to shareholders. This decision reflects the company's commitment to returning excess cash based on operational performance and investment activity.

CME Group is set to launch two new China portside iron ore futures contracts on January 10, 2022, pending regulatory approvals. These contracts will be financially settled based on prices published by Argus Media and will include the Iron Ore China Portside Fines CNH and USD Seaborne Equivalent contracts. The introduction of these futures aims to provide market participants with enhanced tools to manage risk related to iron ore prices at Qingdao Port. This move responds to the growing demand for effective price risk management in the evolving iron ore market.

CME Group Inc. (NASDAQ: CME) announced its 2022 annual meeting of shareholders will take place on May 4, 2022, at 10:00 a.m. Central Time. The meeting will provide insights into the company’s strategic direction and shareholder matters. CME Group, recognized as the leading derivatives marketplace, enables clients to trade in various markets, including futures and options, across asset classes such as interest rates, equity indexes, and agriculture. More details will be available in the company’s proxy statement.

CME Group announced the winners of its 18th annual University Trading Challenge, with the University of Bogota Jorge Tadeo Lozano securing first place, marking the second consecutive win for a Latin American team. The competition involved 386 teams and over 1,500 students from 24 countries, focusing on trading various futures contracts using CQG's trading platform. Participants received live market updates via Dow Jones newsfeeds. Winners are eligible for cash prizes and a market education event. CME Group emphasizes its commitment to educating future derivatives traders through innovative technology and collaboration.

The Purdue University/CME Group Ag Economy Barometer declined by 5 points in November 2021, reaching a reading of 116, reflecting farmers' pessimism about the agricultural economy. Both the Index of Current Conditions and Index of Future Expectations hit their lowest levels of 2021. Rising production costs, particularly for inputs like fertilizer and fuel, are a major concern, with 43% of farmers expecting input prices to rise by over 16%. Despite these issues, the Farm Financial Performance Index rose slightly to 106, driven by strong crop yields and wheat prices, along with optimistic farmland value expectations.

CME Group has launched Micro Ether futures, expanding its cryptocurrency derivatives offerings. This product, sized at one-tenth of one Ether, aims to provide a cost-effective way for various market participants, including institutions and individual traders, to hedge Ether price risks. The launch reflects growth in the cryptocurrency market and is expected to attract strong demand. The new futures are cash-settled based on the CME CF Ether-Dollar Reference Rate, offering a transparent and efficient trading option.

CME Group reported a significant milestone in its SOFR futures contracts, achieving over 1.6 million in open interest on November 30, marking a 137% increase year-to-date. The average daily volume for November soared to 304,314 contracts, up over 250% year-on-year. Additionally, cleared SOFR swaps notional volume surpassed $124 billion for the month. SOFR-indexed swaps constituted 32% of total USD swap trades. Overall, SOFR-linked open interest has reached 18.1 million contracts, representing 36% of total short-term interest rate futures at CME.

CME Group reported a 20% increase in average daily volume (ADV) to 23.1 million contracts for November 2021. Noteworthy increases include 12 million contracts in Interest Rate ADV, 5.6 million contracts in Equity Index ADV, and 4.1 million contracts in Options ADV. Key product highlights show options ADV rose by 59%, especially in Equity Index options, which saw a 66% increase. Additionally, foreign exchange ADV climbed by 6%, driving significant overall growth. BrokerTec's average daily notional value reached $127B, up 17%.