Commodity Index futures contracts from CME Group provide direct exposure to a variety of benchmark commodity indices. These products are based on the indices most closely followed for investment performance in the commodity markets and are used to track performance or as benchmarks for their actively managed accounts. They are available for both futures and cleared over-the-counter swap contracts.

A Commodity Index refers to commodities – such as grain, livestock, dairy, base metals, precious metals, crude oil, and refined oil. The commodity prices are aggregated and formulated into an index, similar to Equity Indices.  

Each index has its own methodology, constituent construction, and commodity weighting. It’s important to understand these factors as they’re related to the respective index’s price performance.  

Commodity Index futures derive their value from their respective index. Like all index futures contracts, Commodity Index futures all have a fixed multiplier or unit size for the contracts. This determines the notional value of the futures contract along with the index value. 

Commodity Index Value x Contract Multiplier = Notional Value

The notional value of Commodity Index futures varies between contracts.

Commodity Index futures are available to trade on CME Globex starting at Sunday 5:00 p.m. Central Time (CT) through Friday 4:00 p.m. CT, almost 24 hours per day. 

Market participants can also execute Commodity Index futures through the Basis Trade at Index Close (BTIC) mechanism. Both outright and BTIC transactions on Block Commodity futures are block=eligible. 

Additionally, cleared OTC Commodity Index trades are privately negotiated, then submitted through CME ClearPort and centrally cleared by CME Clearing, which mitigates counterparty credit risk.  

Margin offsets will also be available for those interested in trading or spreading Commodity Index futures versus other CME Group stock index products.