U.S. grain brokers and analysts on Wednesday lamented CME Group Inc’s decision to permanently end open-outcry options trading at a time when crop prices are surging, saying that pit traders could help navigate volatile markets, reports Reuters.
The owner of the Chicago Board of Trade (CBOT) on Tuesday said it will never reopen physical trading pits it shut last March due to the COVID-19 pandemic, though a Eurodollar options pit will remain open.
Traders and brokers who work away from CBOT’s grain pits found it easier to execute complicated options transactions with help from the floor. The pits also provided a reliable source for options quotes that are not always available in markets that are solely electronic, traders said.
Read the full report at Reuters.
