Cbot Soybean Futures

The Chicago Board of Trade (CBOT) was established in 1848. With more than sixty different products, including futures and futures-options on U.S. Treasury bonds and notes, the Dow Jones Industrial Average and other innovative new contracts such as ethanol, South American soybeans and electronically traded gold and silver, no other exchange matches the diversity of commodity and financial products. The CBOT’s fully integrated exchange offers the liquidity, capital efficiencies, diverse products and industry safeguards that the marketplace demands. Its electronic trading engine and clearing process provides customers with increased speed, enhanced functionality and lower transaction costs. With record breaking volume of nearly 600 million contracts in 2004, the Chicago Board of Trade provides transparent markets for price discovery and risk management needs.

Soybean futures are an easy, liquid tool for speculating or hedging against price movements for one of the world’s most widely grown crops. Seek rewards, manage risks and diversify your portfolio. Our global contracts enable you to trade around the new crop of the northern hemisphere in November and the South American new crop in May.

Description of Cbot Soybean Futures

Soybean oil is an extract of soybeans that you and I know as vegetable oil. Soybean oil is the most widely used culinary oil in the United States and around the world, partly because of its healthy, nutritional characteristics. It contains about 85 percent unsaturated fat and very little saturated fat, which makes it appealing to health-conscious consumers. In addition to its gastronomic uses, soybean oil is becoming an increasingly popular additive in alternative energy sources technology, such as bio-diesel. An increasing number of cars in the United States and abroad, for example, are being outfitted with engines that allow them to convert from regular diesel to soybean oil during operation. Because of their economic fuel mileage and low environmental impact, these soybean oil–enabled cars, known as frybrids, are becoming more popular.

Demand for soybean oil has increased in recent years as demand for these cleaner-burning fuels increases and as the automotive technology is more able to accommodate the usage of such bio-diesels. According to the Commodity Research Bureau (CRB), production of soybean oil increased from an average of 15 Billion Pounds in the mid-1990s to more than 22 Billion Pounds in 2003. If you want to trade soybean oil, you need to go through the Chicago Board of Trade (CBOT), which offers the standard soybean oil contract. Here is the contract information:

Soybean meal, like soybean oil, is an extract of soybeans. Basically, whatever is left after soybean oil is extracted from soybeans can then be converted to soybean meal. Soybean meal is a high protein, high energy-content food that is used primarily as a feedstock for cattle, hogs, and poultry.

To invest in soybean meal, you can trade the soybean meal futures contract on the CME. Here is the information to help you get started trading this contract:

  • Contract Ticker Symbol: SM
  • Electronic ticker (CME Globex): ZM
  • Contract Size: 100 Tons
  • Underlying commodity: 48% protein soybean meal
  • Price Fluctuation: $0.10/ton ($10.00 per contract)
  • Trading Hours: 9:30 a.m. to 1:15 p.m. Open Outcry, 6:31 p.m. to 6:00 a.m. Electronic (Chicago Time)
  • Trading Months: January, March, May, July, August, September, October, December

Features of Cbot Soybean

  • Contract Ticker Symbol: BO
  • Electronic ticker (CME Globex): ZL
  • Contract size: 60,000 pounds
  • Underlying commodity: Premium crude soybean oil
  • Price Fluctuation: $0.0001/pound ($6.00 per contract)
  • Trading Hours: 9:30 a.m. to 1:15 p.m. Open Outcry, 6:31 p.m. to 6:00 a.m. Electronic (Chicago Time)
  • Trading Months: January, March, May, July, August, September, October, December

Prices of Cbot Soybean

$100.00 – $110.00/ Long Ton

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