Interest rate futures contract

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Interest rate futures contract

A futures contract based on an interbank deposit rate or an underlying debt security. The value of the contract rises and falls inversely to changes in interest rates.

Interest Rate Futures Contract

An agreement to buy and sell a debt obligation at a certain date at a certain price. For example, Investor A may make a contract with Creditor B in which A agrees to buy a certain number of B's bonds at a certain date for a certain amount. The value of an interest rate futures contract varies according to changes in the interest rates. For example, if interest rates rise, the value of the futures contract falls because a potential buyer will be able to buy another interest rate futures contract with a better interest rate. See also: Plain vanilla swap.
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Euro$ interest rate futures are under pressure trending lower still with the windfall on equities amid risk-on action, China export/loan gains, M&A, bank earnings, etc.
BlueCrest, the independent investment firm and a global leader in interest rate trading, has confirmed that it intends to trade in CurveGlobal products in order to improve efficiency and create a more competitive interest rate futures market.
Our range of interest rate futures and options contracts continues to grow to cover more geographies, currencies and tenors."
Also, the company said that the launch comes after the ICE One Month SONIA futures contract was introduced on 1 December 2017 and complements its liquid and diverse range of interest rate futures and options contracts, which span several currencies such as EUR, GBP, CHF and USD and tenures, overnight to 30 years.
Currently the interest rate futures markets are pricing in a 33 per cent increase in interest rates before the end of the year.
short-term interest rate futures contracts rose following the news.
The QED service also distributes select Frankfurt-sourced equity index and interest rate futures in Madrid and Marseille at the lowest commercially available latency.
CurveGlobal said it plans to initially offer trading in short term interest rate futures in Euribor and short Sterling and long term interest rate futures in Bund, Bobl, Schatz and Gilts.
Top stock exchange NSE will launch a new interest rate futures (IRF) contract offering 7.72 per cent yield government bonds.
On June 9, 2014, several Liffe US interest rate futures were transitioned to ICE Futures Europe and ICE Clear Europe.
Last month, India's central bank took action to reverse that, announcing it would introduce 10-year interest rate futures contracts by the end of the year.
In addition to these IRRI rice, Palm Olein and Kibor interest rate futures are also listed and traded on NCEL.