[Federal Register: March 7, 2003 (Volume 68, Number 45)]
[Notices]
[Page 11067-11068]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr07mr03-50]
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COMMODITY FUTURES TRADING COMMISSION
Chicago Board of Trade (CBT) Proposed New Mini-Sized Corn,
Soybean, and Wheat Futures Contracts
AGENCY: Commodity Futures Trading Commission.
ACTION: Notice of availability of terms and conditions of new contract
specifications for mini-sized corn, soybean, and wheat futures.
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SUMMARY: The Chicago Board of Trade (CBT or Exchange) has requested
that the Commission approve the subject proposed new mini-sized corn,
soybean, and wheat futures contracts, new CBT Regulation 332.11, and
related amendments to existing CBT Regulations 425.01 and 1008.01. The
proposals were submitted pursuant to Commission Regulations 40.3 and
40.5.
The Director of the Division of Market Oversight (Division) of the
Commission, acting pursuant to the authority delegated by Commission
Regulation 140.96, has determined that publication of the Exchange's
proposal for comment is in the public interest, and will assist the
Commission in considering the views of interested persons.
DATES: Comments must be received on or before March 24, 3003.
ADDRESSES: Interested persons should submit their views and comments to
Jean A. Webb, Secretary, Commodity Futures Trading Commission, Three
Lafayette Centre, 1155 21st Street, NW., Washington 20581. In addition,
comments may be sent by facsimile transmission to (202) 418-5521 or by
electronic mail to [email protected]. Reference should be made to
``CBT mini-sized, corn, soybean and wheat futures contracts.''
FOR FURTHER INFORMATION CONTACT: Please contact Frederick Linse of the
Division of Market Oversight, Commodity Futures Trading Commission,
Three Lafayette Centre, 1155 21st Street, NW., Washington 20581, (202)
418-5273. Facsimile number: (202) 418-5527. Electronic mail:
[email protected].
SUPPLEMENTARY INFORMATION: The proposed futures contracts would provide
for the delivery of warehouse depository receipts and certificates
representing 1,000 bushels of corn, soybeans and wheat, respectively.
Except for certain terms noted below, the terms and conditions of the
subject contracts would be identical to the terms and conditions of the
existing 1,000-bushel corn, soybeans and wheat futures contracts traded
on the MidAmerica Commodity Exchange (MACE). In this respect, prior to
the first trading day of the subject new contracts, all of the open
interest on the MACE corn, soybean and wheat futures contracts would be
transferred to the corresponding new CBT mini-sized contracts. Trading
of the MACE corn, soybean and wheat contracts on MACE would cease after
the open interest in these contracts has been transferred to the CBT.
The primary differences between the CBT mini-sized and MACE
contracts relate to the contracts' speculative position limits and
certain terms concerning the taking of physical delivery against
outstanding warehouse depository receipt and shipping certificates.
Under proposed amendments to the CBT's Regulation 425.01, a trader's
combined position in the mini-sized contracts and the corresponding CBT
corn, soybean and wheat futures contracts would be subject to the CBT's
existing speculative
[[Page 11068]]
position limits for these commodities. For purposes of combining
positions, one mini-sized contract would be treated as equivalent to
one-fifth of one CBT 5,000-bushel contract. Currently, traders'
positions in MACE and CBT corn, soybean and wheat futures contracts are
subject to speculative position limits that are specified separately
for each exchange. The proposed rules also would specify that holders
of outstanding 1,000-bushel warehouse depository receipts and
certificates must present such receipts and certificates to issuers in
multiples of 5 receipts or certificates in order to receive load-out of
the underlying corn, soybeans or wheat.\1\
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\1\ The CBT indicated that the above proposed rules codify
existing MACE practices.
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Trading of the new mini-sized contracts would be by open outcry. In
this regard, the CBT is proposing to adopt new regulation 332.11 which
specifies the CBT's requirements in relation to changers and changing
transactions.
The CBT stated that it intends to commence trading of the new mini-
sized corn, soybean and wheat futures contracts in the second calendar
quarter of 2003.
The Division is requesting comment on the proposals. Copies of the
Exchange's proposal will be available for inspection at the Office of
the Secretariat, Three Lafayette Centre, 1155 21st Street, NW.,
Washington 20581. Copies of the proposal can also be obtained through
the Office of the Secretariat by mail at the above address or by phone
at (202) 418-5100.
Other materials submitted by the CBT in support of the request for
approval may be available upon request pursuant to the Freedom of
Information Act (5 U.S.C. 552) and the Commission's regulations
thereunder (17 CFR part 145 (2002)), except to the extent they are
entitled to confidential treatment as set forth in 17 CFR 145.5 and
145.9. Requests for copies of such materials should be made to the FOI,
Privacy and Sunshine Act Compliance Staff of the Office of the
Secretariat at the Commission's headquarters in accordance with 17 CFR
145.7 and 145.8.
Any person interested in submitting written data, views, or
arguments pertaining to the proposal or with respect to other materials
submitted by the CBT should send such comments to Jean A. Webb,
Secretary, Commodity Futures Trading Commission, Three Lafayette
Centre, 1155 21st Street, NW., Washington 20581 by the specified date.
Issued in Washington, DC on March 3, 2003.
Michael Gorham,
Director.
[FR Doc. 03-5358 Filed 3-6-03; 8:45 am]
BILLING CODE 6351-01-M