CORRECTED-CME Group to again list new live cattle futures, options contracts
(Corrects third paragraph to read...does not allow delivery of non-U.S. origin cattle... instead of...allows delivery of non-U.S. origin cattle)
CHICAGO Feb 3 (Reuters) - CME Group Inc plans to resume the listing schedule for live cattle futures and options contracts, effective Feb. 18, the exchange said in statement on Wednesday.
CME will post the June 2017 live cattle futures and options contract that was originally scheduled to be listed on January 4.
The exchange will not amend CME Rule 10101, which does not allow delivery of non-U.S. origin cattle, and will continue to require that all cattle delivered against the contract must be born and raised only in the United States.
CME Group temporarily delayed listing new contracts in early December 2015 to evaluate possible delivery changes of non-U.S. origin cattle in anticipation of a repeal of beef, as a covered commodity, subject to mandatory Country of Origin Labeling (COOL) requirements.
Later that month, the U.S. Congress passed a broad 2016 spending package that included the repeal of a meat labeling law in order to avoid more than $1 billion in trade retaliation by Mexico and Canada.
"Upon feedback from market participants, and the lack of publicly available data on discounts or premiums based on the country of origin of slaughter cattle, CME has determined not to amend Rule 10101 regarding country of origin delivery at this time," the exchange said. (Reporting By Theopolis Waters; Editing by Diane Craft)
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