CME Globex (Examples)

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SUMMARY

CME Globex is the electronic trading platform of CME Group, providing around-the-clock access to the world's largest derivatives marketplace. The platform handles trading of futures, options, cryptocurrencies, and other derivatives products across multiple asset classes, processing millions of transactions daily with sub-millisecond execution times.

How CME Globex works

CME Globex operates as a central limit order book system, matching buy and sell orders automatically based on price and time priority. The platform integrates sophisticated matching engine technology with robust risk management controls.

Market access and connectivity

Traders can access CME Globex through multiple channels:

  1. Direct connection via CME Group data centers
  2. Colocation services
  3. Third-party software vendors and trading platforms
  4. Direct Market Access (DMA) through clearing members

The platform supports various market data feeds, including:

  • CME Market Data Platform (MDP) 3.0
  • CME MDP Channel
  • FIX market data
  • Market by Order (MBO) feeds

Next generation time-series database

QuestDB is an open-source time-series database optimized for market and heavy industry data. Built from scratch in Java and C++, it offers high-throughput ingestion and fast SQL queries with time-series extensions.

Trading features and functionality

CME Globex provides comprehensive order management capabilities, including:

Performance and reliability

The platform is designed for high-performance trading with:

  • Sub-millisecond latency
  • High-throughput capacity
  • Built-in redundancy and failover systems
  • Circuit breakers and market protection mechanisms

Market data and time synchronization

CME Globex maintains precise time synchronization using:

Risk management features

The platform incorporates multiple layers of risk controls:

  • Credit controls at the clearing firm level
  • Position limits and exposure monitoring
  • Price banding and protection points
  • Kill switch functionality

Integration with clearing systems

CME Globex seamlessly integrates with:

  • CME Clearing
  • ClearPort for OTC derivatives
  • Post-trade processing systems
  • Regulatory reporting mechanisms

The platform's architecture ensures efficient processing of trades from execution through clearing and settlement, maintaining the integrity of the trading ecosystem while providing market participants with reliable access to global derivatives markets.

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