CHICAGO and LONDON, Dec. 4, 2024 /PRNewswire/ -- CME Group, the world's leading derivatives marketplace, today announced it will provide CME Term €STR Reference Rates to meet client demand for a term rate anchored in €STR markets.

Published in beta today, the rates are based on CME Group's liquid €STR futures and OTC swap market data. They are published in 1-month, 3-month, 6-month and 12-month tenors.

"We are introducing €STR term rates in response to client demand for a more robust and transparent term rate for the growing €STR ecosystem," said Max Ruscher, Head of Benchmark Services, CME Group. "Building on the increasing liquidity in our €STR futures market and OTC trade data, our term rate is based on comprehensive derivatives transactions data that will help clients build lending and fixed income products."

€STR futures at CME Group have grown rapidly with open interest exceeding 70,000 contracts, with widespread participation in the market from over 250 end users. Since their launch in October 2022, over 5 million contracts have been traded in total.

Institutions interested in the CME Term €STR Reference Rates can learn more here. While the rates are in beta, they are displayed solely for information and evaluation purposes, and are not available for use (including as a reference, index or benchmark in financial instruments, financial contracts or investment funds) until further notice and an appropriate license is entered into.

CME Group Benchmark Administration Limited (CBA) is the benchmark administrator for CME Term SOFR, the global benchmark for new U.S. dollar lending as implied by transactions in derivatives markets. It is the first and only benchmark to be formally recommended by the Alternative Reference Rates Committee, with more than $7 trillion in loans from 90+ countries now referencing this rate.

As the world's leading derivatives marketplace, CME Group () enables clients to trade futures, options, cash and OTC markets, optimize portfolios, and analyze data – empowering market participants worldwide to efficiently manage risk and capture opportunities. CME Group exchanges offer the widest range of global benchmark products across all major asset classes based on interest rates, equity indexes, foreign exchange, energy, agricultural products and metals. The company offers futures and options on futures trading through the CME Globex platform, fixed income trading via BrokerTec and foreign exchange trading on the EBS platform. In addition, it operates one of the world's leading central counterparty clearing providers, CME Clearing.

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SOURCE CME Group