About CME New Zealand Dollar Futures

CME® New Zealand dollar futures and options on futures offer financial institutions, investment managers, corporations and private investors a way to manage the risks associated with currency rate fluctuation and to take advantage of profit opportunities stemming from changes in currency rates

CME New Zealand dollar futures contracts and options on futures contracts were offered in 1997. Currently CME offers markets for trading CME New Zealand dollar futures and options on futures on CME Globex® as well as on its trading floor. CME New Zealand dollar futures and options on futures contracts are designed to reflect changes in the U.S. dollar value of the New Zealand dollar.

The official New Zealand currency is the New Zealand dollar, which was introduced in 1967.  Until 1967, the country’s currency had been the pounds, shilling and pence system used in the United Kingdom.

Futures contracts are quoted in U.S. dollars per New Zealand dollar, and call for physical delivery at expiration. Physical delivery takes place on the third Wednesday of the contract month, in the country of issuance at a bank designated by the CME Clearing House. Exercised options contracts are settled by the delivery of futures contracts.

The contract’s size is 100,000 New Zealand dollars per contract. Trading occurs in $.0001 per New Zealand dollar increments, or $10.00 per contract. CME New Zealand dollar futures trading may also occur in $.00005 per New Zealand dollar increments, equaling $5.00 per contract.

CME New Zealand dollar futures trade six months in the March quarterly cycle, Mar, Jun, Sep, Dec.; and also trade contracts in CME Australian dollar/New Zealand dollar as part of cross rate currency futures. Options on futures contracts trade four months in the March quarterly cycle, two months not in the March cycle (serial months), plus four weekly expiration options.