• REVISED IMPORTANT: Trade-At-Marker (TAM) Starts on June 13, 2011

      • To
      • Clearing Member Firms, Back Office Managers, Software Providers
      • From
      • CME Clearing
      • #
      • 11-144
      • Notice Date
      • 25 April 2011
      • Effective Date
      • 13 June 2011


       Click here for the full text of the advisory

      On Monday June 13, pending  receipt of required regulatory approvals, CME will introduce Trade-At-Marker (TAM) trading on CME Globex.  The initial product set is as follows:



      TAM Trading Symbol

      TAM Marker Price Symbol

      Marker Time

      NYMEX Crude Oil (CL)



      4:30 p.m. London time

      NYMEX Heating Oil (HO)



      4:30 p.m. London time




      4:30 p.m. London time

      NYMEX Brent Crude Oil (BZ)



      4:30 p.m. London time



      TAM trading is exactly analogous to the existing Trade-At-Settlement (TAS) trading:  you trade at a differential to a not-yet-known price.  For TAS, that not-yet-known price is the end-of-day settlement price, and for TAM, it’s some other value – a “marker” price.  For any given contract, there could be more than one marker relative to which you can trade.  There will be a new TAM trading symbol for each new marker introduced.


      The 4:30pm London marker time for the initial TAM product set corresponds to the London market close, and allows market participants to trade relative to that close.  TAM trades will be allowed for these products at differential prices up to ten ticks above or below the marker price.


      Regardless of whether you trade TAS or TAM, the mechanics are the same.