CBOT Futures & Options

The Chicago Board of Trade (CBOT) is today one of the 4 exchanges of the CME Group, the largest and most diversified derivatives market in the world. While in its early days the CBOT focused solely on providing products on agricultural commodities related to grain, today it offers a wider range including options and futures on various products such as those on interest rates and indices. In 1848, Chicago became a key location for agricultural trade. At this time, the CBOT was formed and became a major player in grain trading in the United States. This exchange enabled farmers to sell their crops at fixed prices between harvest seasons, providing consumers with price visibility for grain throughout the year. In 1851, the CBOT offered an early form of the forwards contracts that gained popularity and it was in 1865 that the CBOT introduced the first form of futures contract. Over the next century, the CBOT grew along with one of its competitors, the Chicago Mercantile Exchange (CME). In 2007, the two entities officially merged to form the CME Group and become the leading derivatives exchange. Today, the CBOT aims to preserve the integrity of the derivatives market by encouraging innovation and ensuring accessibility to a variety of financial products. This allows investors to effectively manage risk and seize opportunities within a secure trading environment.