Globex Advisory Notice
From | John M. Restivo, Associate Director Trading Customer Support
Subject | System Update #27 E-Mini S&P Options Trading Disruption
Effective Date | 03/14/01
Notice Number | SU#0127
Cause: When attempting to re-open the ES options at 8:27 AM CST (in preparation for the limit offer opening in the underlying futures), an issue arose during the state change between Opening & Trading. Due to this issue, the opening failed before the entire S&P E-Mini options group could complete its opening cycle. At 11:15 AM CST, the issue was resolved and the E-mini S&P Options remained open. Response: Senior staff was notified and the GLOBEX�2 development staff began working to resolve the problem. Emergency messages were placed and updated on the main GCC line, TUG Emergency Banner and Emergency Update page on CME�s web site, and to front-end news windows. Several attempts were made to correct the error with the opening. Each attempt resulted in some of the instruments within the E-Mini S&P Options group opening and matching occurring before the entire group could open. Each time the opening failed the group state indicator would change to forbidden. All trades that occurred during the attempted re-openings stood. Resolution: After several attempts to correct the problem it was determined that one strike price had an order with corrupted data. The order was canceled from the Host and we were able to place the markets into pre-opening at 11:03am CST, and opened at 11:15am CST with no further issues. We will continue to research the root cause of the problem. If you have any questions, please call the GCC at 312-456-2391 option 2.