Reuters – By Tom Polansek – June 11, 2012
CHICAGO, June 11 (Reuters) – The Commodity Futures Trading Commission approved the Chicago Board of Trade’s plan to start open-outcry grain trading early on days the U.S. government issues major agricultural reports, a commission spokesman said on Monday.
CME Group, owner of the CBOT, told the CFTC it wanted to start pit trading at 7:20 a.m. CDT (1220 GMT), instead of the traditional opening time of 9:30 a.m., when the U.S. Department of Agriculture issues major reports.
The CFTC did not object to the change after a 10-day review of the plan ended on Friday, the spokesman said.
The change will take effect on Tuesday, when the USDA is due to issue crop reports at 7:30 a.m. CDT.
It will be the first time that markets are open for a key USDA report, raising concerns that volatility could spike as traders scramble to digest the data as quickly as possible. Formerly, traders had two hours to review the reports before pit or electronic trading began.
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