Minor Revisions to CBOT Rules in Connection with the Launch of Trading in Treasury Invoice Spreads

Effective immediately, CBOT has adopted minor revisions to various rules in connection with today’s launch of trading in Treasury Invoice Spreads. 

The revisions to CBOT Rules include the following:

·        Adoption of new definitions of Cleared Swaps Customer Account, Cleared Swaps Customer, IRS Clearing Member, SDR and Swap and elimination of several outdated definitions;

·        Minor modifications to Rules 195, 416, 501, 526, 530, 531, 533, 539, 560, 588 and 600 in order to add the word “swap” into rules which currently specifically cite futures and options to codify that these rules will apply to the trading Treasury Invoice Spreads;

·        The addition of language in Rule 528 codifying that the CBOT will report swap trades to the CME Swap Data Repository as required by applicable CFTC Regulations; and

·        The adoption of new Rule 590 (“Failure to Clear”) concerning the manner in which a Treasury Invoice Swap trade will be handled in the event the swap leg fails to clear.

The revisions appear below, with additions underscored and deletions overstruck.  If you have any questions concerning the changes, please contact Robert Sniegowski, Senior Director, Rules & Regulatory Outreach, Market Regulation Department, at 312.341.5991.

Please click HERE to view the full advisory.