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Lean Hog Futures and Options Education
Lean hog futures and options quick facts:
Chicago Mercantile Exchange (CME)
Lean Hogs futures
and lean hog options contracts have undergone considerable
improvements. Effective with the February 1997 contract, new
and improved specifications, including a new name -Lean
Hogs- instead of live hogs make this contract even a more
viable hedging tool for pork producers and packers
throughout the U.S.
The new cash settlement feature also
makes this a viable hedging tool for international producers
and pork importers/exporters.
Lean Hog Futures and Lean Hog
Options
Contract Specifications
Trading
Unit
Lean Hog Futures: 40,000 pounds of
lean value hog carcasses
Lean Hog Options: One Lean Hogs
Futures Contract
Trading
Hours
Lean Hog Futures: 9:10 a.m. to 1:00
p.m. LTD (12:00pm)
Lean Hog Options: 9:10a.m. To 1:00
p.m. LTD (12:00pm)
Trading
Months
Lean Hog Futures: Feb., April, May,
June, July, Aug., Oct., Dec.
Point
Description
Lean Hog Futures and Options: 1 point
= $.0001 per hundred pounds = $4.00
Contract
Listings
Lean Hog Futures: Nine months of
February, April, June, July, August, October, and December.
Effective 6/4/01, May is eligible.
Lean Hog Options: Eight months of
February, April, June, July, August, October, December, and
Flex Options. Effective 6/04/01, May is eligible.
Limits
Lean Hog Futures: $0.02/lb, 200
points, $800 see Rule 1602 D
Minimum
Price Fluctuation
Lean Hog Futures: 0.00025 = $10.00
Lean Hog Options: 0.00025 = $10.00
Regular, 0.000125 = $5.00 Cab
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