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CME Group bids to enter US Treasuries clearing business

Published 03/12/2024, 06:22 PM
Updated 03/12/2024, 09:51 PM
© Reuters. FILE PHOTO: A bronze seal for the Department of the Treasury is shown at the U.S. Treasury building in Washington, U.S., January 20, 2023. REUTERS/Kevin Lamarque/File Photo
CME
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(Reuters) -CME Group plans to apply to clear U.S. Treasuries, a spokesperson said, a $26 trillion dollar market.

The Financial Times reported earlier on Tuesday that CME Group (NASDAQ:CME) would apply this year to clear U.S. Treasuries, becoming the first exchange company to publicly announce its plans to enter the world's biggest bond market.

Its competitor Intercontinental Exchange (NYSE:ICE)'s president of fixed income and data services, Chris Edmonds, told Reuters his company is also interested in offering Treasury clearing services, saying Intercontinental Exchange "will find a way to serve the market".

© Reuters. FILE PHOTO: A bronze seal for the Department of the Treasury is shown at the U.S. Treasury building in Washington, U.S., January 20, 2023. REUTERS/Kevin Lamarque/File Photo

CME operates CME Clearing, which offers clearing and settlement services for exchange-traded contracts and over-the-counter derivatives transactions.

The exchange operator also offers global benchmark products across major asset classes, including futures and options.

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