The Chicago Board of Trade is rumored to be gearing up to negotiate out of its alliance with Eurex, the Swiss-German exchange, say CBOT insiders. Ahead of its meeting with Eurex in Germany on April 25, it is unclear whether the CBOT is trying to work its way out of part of the contract or divorce itself entirely from the deal. "Both Eurex and the CBOT are unhappy with the current contract, and I know the CBOT is looking for a way to get out," one CBOT insider told DW sister publication Wall Street Letter. A spokeswoman for the CBOT said, "We are happy with the volume on [alliance trading platform] a/c/e and we look forward to working with Eurex officials to come up with a future agenda that is in the best interest of both exchanges and their customers."
Eurex has been pressuring the CBOT to upgrade the software on its electronic trading platform and to begin developing equity options contracts.
The alliance between the two derivatives exchanges, called Alliance/CBOT/Eurex, or a/c/e, was launched in August 2000 and allows members of both exchanges to electronically trade each others' products.
