Please be advised that the minimum tick increment for nine NYMEX option products will be changed from 0.001 to 0.0001 after Friday night’s processing cycle. With this change and starting trade date Monday, December 13, 2010 the new minimum tick increment will become effective. Your trading and/or bookkeeping software may need to be updated if you trade these products.
The minimum tick increment for the underlying futures will not change.
Below is a list of the clearing codes for the NYMEX products that will be affected.
PRODUCT CODE FROM TO
PGE Citygate Option CW 0.001 0.0001
Northern Rockies “Pipe” Option ZR 0.001 0.0001
Transco Zone 6 “Pipe” Option TZ 0.001 0.0001
Chicago City Gate “Pipe” Option PY 0.001 0.0001
Houston Ship Channel “Pipe” Option PK 0.001 0.0001
San Juan “Pipe” Option PJ 0.001 0.0001
SOCAL “Pipe” Option ZN 0.001 0.0001
Panhandle “Pipe” Option PU 0.001 0.0001
Daily Natural Gas Option KD 0.001 0.0001
Please note: If you use the positional (“fixed-format”) settlement price file or the SPAN “.pa2” file to update settlement prices in your systems, you may need to make adjustments for these contracts. The price will have one more level of precision (making it look 10 times larger) and the Settlement Price Decimal Price Locators in the SPAN file will change from 3 to 4.
Additionally, if you use the FIXML Settlement Price File, you will notice that while the price may go to a higher level of precision, the decimal will still be located in the same place currently displayed.
These changes are in effect now in the CME New Release Environment. Sample SPAN files are available at ftp.cmegroup.com/pub/span/cme/nr. If you would like a sample New Release settlement price file, please contact us.
If you have questions regarding this Advisory, please contact Clearing Customer Support (CCS) at 312-207-2525, or CCS@cmegroup.com
CME Group is the world's leading and most diverse derivatives marketplace. The company is comprised of four Designated Contract Markets (DCMs). Further information on each exchange's rules and product listings can be found by clicking on the links to CME, CBOT, NYMEX and COMEX.