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CME Group (CME) Unveils Micro-Sized Bitcoin and Ether Options

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CME Group Inc. (CME - Free Report) unveiled options on Micro Bitcoin and Micro Ether futures. The options will enhance CME Group's diverse suite of more than 20 micro products, which have traded more than 1.2 billion contracts since their launch.

Micro Bitcoin futures are sized at 1/10 of one bitcoin. It offers a new and efficient, cost-effective way to fine-tune bitcoin exposure and enhance trading strategies.

Micro Ether futures (MET) are sized at 1/10 of one ether. The futures provide another efficient, cost-effective way to manage exposure to one of the largest cryptocurrencies by market capitalization and further optimize trading strategies.

Based on the strength and liquidity of Micro Bitcoin and Micro Ether futures, these options contracts enable market participants to efficiently hedge market-moving events with greater precision and flexibility. It enables traders of all sizes to access crypto market exposure.

CME Group continues to focus on driving growth and customer acquisition by expanding, innovating and scaling its core offerings, and increasing participation from non-U.S. customers. This is achieved by the expansion of its global sales team, cross-selling of products, expansion of the existing benchmark products, product and service launches, and deepening of open interest in core futures and options offerings.

The newly launched futures contracts will add to CME Group's robust suite of cryptocurrency derivative offerings. In a bid to meet the growing demand for profitable, regulated products such as these micro-sized contracts and Ether, CME Group introduced MET. With the addition of the futures, traders will be able to leverage the opportunities apart from minimizing price risk across the market.

CME Group exchange consists of designated contract markets for the trading of futures and options contracts. CME enables clients to trade futures, options, cash and over-the-counter markets and optimize portfolios. CME focuses on maximizing futures and options growth globally, diversifying business and revenues, and delivering unparalleled customer efficiencies and operational excellence.

Shares of this largest futures exchange in the world in terms of trading volume and notional value traded have rallied 18% in the past year compared with the industry’s growth of 16.3%.

 

Zacks Investment Research
Image Source: Zacks Investment Research

 

CME Group currently carries a Zacks Rank #3 (Hold).

Stocks to Consider

Some better-ranked stocks from the finance sector are Horace Mann Educators Corporation (HMN - Free Report) , Cincinnati Financial Corporation (CINF - Free Report) and Old Republic International Corporation (ORI - Free Report) . While Horace Mann Educators currently sports a Zacks Rank #1 (Strong Buy), Cincinnati Financial and Old Republic International carry a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

Horace Mann’s earnings surpassed estimates in each of the last four quarters, the average beat being 22.8%. In the past year, HMN has declined 3.5%.

The Zacks Consensus Estimate for Horace Mann’s 2022 and 2023 earnings has moved 8.3% and 11% north, respectively, in the past 60 days.

The bottom line of Cincinnati Financial surpassed earnings estimates in each of the last four quarters, the average being 38.48%. In the past year, the insurer has rallied 32.4%.

The Zacks Consensus Estimate for Cincinnati Financial’s 2022 and 2023 earnings has moved 5.7% and 5.5% north, respectively, in the past 60 days.

Old Republic International’s earnings surpassed estimates in each of the last four quarters, the average earnings surprise being 38.74%. In the past year, ORI has rallied 20.8%.

The Zacks Consensus Estimate for Old Republic International’s 2022 and 2023 earnings has moved 3.7% and 7.5% north, respectively, in the past 60 days.

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