For Release: May 30, 2007
CFTC Staff Approves Singapore Exchange Derivatives Trading Limited's U.S. Dollar Denominated Futures Contract Based on the Nikkei 225 Index to be Offered and Sold in the U.S.
Washington, D.C. – The Commodity Futures Trading Commission's (CFTC's) Office of General Counsel (OGC) issued a no-action letter on May 24, 2007, permitting the offer and sale in the U.S. of Singapore Exchange Derivatives Trading Limited's (SGX-DT's) U.S. dollar denominated futures contract based on the Nikkei 225 Index (Nikkei 225 or Index).
The newly approved contract is substantially similar to SGX-DT's Japanese yen denominated futures contract on the Nikkei 225, which was approved in 1986. The only difference is that the new contract's multiplier is in U.S. dollars.
The Nikkei 225 is a broad-based, price-weighted composite security index made up of 225 highly capitalized and actively traded stocks in the first section of the Tokyo Stock Exchange. The Index is a widely observed index of stock market activity in Japan. As of April 20, 2006, the total market capitalization of the Nikkei 225 was approximately U.S. $3.32 trillion.
- For information on foreign exchange-traded security index futures contracts pending no-action approval with the CFTC's OGC, see the Foreign Instrument Approvals & Exemptions Backgrounder at: www.cftc.gov/opa/backgrounder/opapart30.htm.
R. David Gary
Last Updated: July 2, 2007