Effective on January 2, 2015, CME will adopt revisions to Rule 807 (“Open Long Positions During Delivery Month”) that will eliminate the current prohibition on the intraday freshening of delivery dates in Live Cattle futures. CME currently prohibits freshening by requiring that, beginning on the day following the first day on which long position holders may be assigned delivery, all purchases and sales made on a single trade date by a person holding a long position in spot month Cattle futures must first be netted out as day trades with only excess buys considered new longs, or the excess sales being offsets of the long position. Given that the effective date of the revisions is January 2, 2015, freshening in CME Live Cattle futures remains prohibited through the expiration of the December 2014 contract month.
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