CME
Trading Applications

The CME electronic trading environment is highly complex and includes order entry, order routing, trade matching and market data components. While it is essential that the CME® Globex® platform be flexible and open to accommodate the needs of many different kinds of traders worldwide, it is also essential that all programs interacting with the platform work together seamlessly. Therefore, all applications designed to connect to it, either directly or indirectly, must successfully complete a CME certification process before being enabled in the environment. CME and front-end providers together test all key function points in regard to connectivity and trading.

In broad terms, all software certified for the CME Globex platform must:

  • Properly receive and display all critical information about the market, particularly if a particular product or the entire market is halted during regular market hours.
  • Handle connectivity to CME and manage trading sessions in the protocols provided. This includes proper logon, message sequencing and weekly resets as well as the graceful handling of disconnects and reconnects.
  • Be capable of proper order entry and cancellation, as well as receipt of both order acknowledgement and fill information.
  • Not adversely impact themselves or other customers. (For example, one test ensures that client systems can process a "busted trade" message via the CME MD API, i.e., a trade cancellation from the CME Globex Control Center, to ensure that the system accurately reflects working orders.)
  • Be designed and developed to ensure that they not adversely impact the CME electronic markets at large. (Even though the system is designed to minimize any such possibility, there do exist scenarios that could flood the CME network and/or processors, causing latencies for other market participants.)
  • Be designed to support features and functionality critical to CME markets.
  • Be designed to accommodate new products and new initiatives developed by CME (e.g., implied spread functionality and CME FRA Switch contracts).
  • Be designed to quickly and easily adapt to any configuration changes, such as changes in trading hours, matching algorithms or size of market depth, without the need to make software changes.