Release: 5163-06

For Release: March 6, 2006

CFTC Issues Order on Chicago Mercantile Exchange Clearing of OTC Eurodollar and Currency Contracts

Washington, DC—The Commodity Futures Trading Commission (Commission) has issued an Order pursuant to Section 4d of the Commodity Exchange Act (Act) with respect to the Chicago Mercantile Exchange's (CME) clearing of certain Eurodollar and currency contracts entered into over-the-counter (cleared-only contracts). The Order permits CME and clearing member futures commission merchants (FCMs) to hold funds of eligible contract participants used to margin cleared-only contracts together with other customer funds segregated in accordance with Section 4d of the Act. The Order requires that CME and the FCMs apply appropriate risk management procedures to these transactions, maintain certain records, and provide specified information to the Commission.

Copies of the Order may be obtained from the Commission's Office of the Secretariat at Three Lafayette Centre, 1155 21st Street, N.W., Washington, DC 20581, (202) 418-5100, or via the Commission's website at /files/tm/tmcmeotc4dorder030306.pdf.

Media Contacts
Alan Sobba
202-418-5080

R. David Gary
202-418-5085

Last Updated: April 23, 2010