Block Trades in Agricultural Products

Effective January 8 pending regulatory review, CME Group will expand block trading to the full suite of CME and CBOT Agricultural futures and option products.

Block trades are privately negotiated futures and option trades between two eligible counterparties which are subsequently submitted to CME Clearing. 

Benefits of Block Trades

  • Convenience of privately negotiating a trade with a selected eligible counterparty
  • Ability to execute a large transaction at a fair and reasonable single price
  • Security of a trade cleared by CME Clearing
  • Designed to meet institutional trading needs

Block trades are governed by Rule 526 (Block Trades) and the Market Regulation Advisory Notice concerning block trades. Specific eligibility requirements and minimum volume thresholds apply to block trading. Detailed information on block trade requirements is available in the Market Regulation Advisory Notice on Block Trades.

View the MRAN. 

Learn More

    Who Can Use Block Trades?

    Participation in block trades is restricted to Eligible Contract Participants as defined in the Commodity Exchange Act.

    Thresholds and Reporting Times

    Block trades are permitted in specified products and are subject to minimum transaction size requirements which vary according to the product, the type of transaction and the time of execution.

    There are two threshold time frames: 8:30 a.m.- 1:30 p.m. Central Time (CT) (RTH) which reflects traditional trading hours; and a second timeframe that covers everything outside of the 8:30 a.m.- 1:30 p.m. CT timeframe (ETH/ATH)

    Futures

    Product

    Threshold

    8:30 a.m.- 1:30 p.m. CT

    Threshold

    1:30 p.m.- 8:30 a.m. CT

    Reporting Time

    Corn

    300

    150

    5 min 

    Soybeans

    200

    100

    5 min 

    SRW Wheat

    200

    100

    5 min

    Soybean Oil

    100

    50

    5 min

    Soybean Meal

    100

    50

    5 min

    HRW Wheat

    100

    50

    5 min

    Feeder Cattle

    50

    50

    5 min

    Live Cattle

    50

    50

    5 min

    Lean Hogs

    50

    50

    5 min

    Mini-Corn

    1500

    750

    5 min

    Mini-Beans

    1000

    500

    5 min

    Mini-SRW

    1000

    500

    5 min

    Mini-HRW

    500

    250

    5 min

    Dairy Complex

    20

    20

    5 min

    Lumber

    10

    10

    15 min

    Palm Oil products

    10

    10

    15 min

    Oats

    10

    5

    15 min

    Rough Rice

    10

    5

    15 min

    EU Wheat

    5

    5

    15 min

    Australian Wheat

    5

    5

    15 min

    Fertilizer

    2

    2

    15  min

    Options

    Product

     

    *Weekly and Short-Dated New Crop options included

    Threshold

    8:30 a.m.- 1:30 p.m. CT

    Threshold

    1:30 p.m.- 8:30 a.m. CT

    Reporting Time

    Corn*

    500

    250

    15 min

    Soybeans*

    300

    150

    15 min

    SRW Wheat*

    300

    150

    15 min

    Soybean Meal*

    150

    75

    15 min

    Soybean Oil*

    150

    75

    15 min

    HRW Wheat*

    150

    75

    15 min

    Live Cattle

    100

    100

    15 min

    Lean Hogs

    100

    100

    15 min

    Feeder Cattle

    100

    100

    15 min

    Calendar Spread Options (CSO)

    100

    50

    15 min

    Oats

    20

    10

    15 min

    Rough Rice

    20

    10

    15 min

    EU Wheat

    5

    5

    15 min

    Dairy Complex

    30

    30

    15 min

    Lumber

    20

    20

    15 min

    Palm Oil

    10

    10

    15 min

    Inter-commodiety Spread Options (ICSO)

    100

    50

    15 min

    Soybean Crush

    100

    50

    15 min

    MGEX-HRW ISO 100 50 15 min

    How to Report a Block Trade

    Block trades must be submitted via CME Direct or CME ClearPort. 

    Register for access to CME Direct

    Learn more about CME ClearPort.

    Pricing a Block Trade

    There are several requirements for pricing a block trade. A block trade must:

    • Be fair and reasonable based on the size of the block, market conditions in the contract and related products, and the circumstances of the market and parties to the trade
    • Trade in minimum tick increments
    • Adhere to all established price limits

    Block trade can be traded to reflect that day’s settlement price (TAS) on TAS eligible products. 

    Viewing a Block Trade

    You can view block trades on:

    • CME Direct, which offers a live block trade window
    • CME Group App, available through iTunes
    • CME Group website at cmegroup.com/block trading

    Block Fees

     

    Pit

    CME Globex

    Block

    Grain & Oilseed Member

    $.18

    $.20

    $1.20

    Livestock & Dairy Member

    $.15

    $.51

    $1.90

    For a list of all products and membership types, see the appropriate DCM fee schedule.

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