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Strategies & Market Trends : Commodities - The Coming Bull Market -- Ignore unavailable to you. Want to Upgrade?

To: craig crawford who wrote (584)	7/23/2001 4:25:12 AM
From: craig crawford	Read Replies (1) \| Respond to of 1643

Thursday July 19, 3:15 pm Eastern Time CBOT to launch futures on DJ-AIG commodity index biz.yahoo.com CHICAGO, July 19 (Reuters) - The Chicago Board of Trade said on Thursday it plans to launch a futures contract based on the Dow Jones-AIG Commodity Index (DJ-AIGCI) on its electronic trading platform, a/c/e, from the fourth quarter of 2001. The contract, which will be cash-settled, will offer investors a way to hedge commodity and inflation exposure or diversify their portfolios, the CBOT said. ``These contracts will become the preeminent commodity index futures product,'' CBOT Chairman Nickolas Neubauer said in a statement issued jointly with Dow Jones & Co. (NYSE:DJ - news). The DJ-AIGCI consists of 20 commodities weighted by production and by investor interest, as gauged by the trading volumes in the index component futures contracts. ``The result is an index that is not skewed toward one commodity and yet clearly distinguishes between major and minor commodities,'' Peter Kann, chairman and chief executive of Dow Jones, said in the statement. The index futures will compete with the Goldman Sachs Commodity Index (GSCI) futures traded at the Chicago Mercantile Exchange, the CBOT's cross-town rival. On Wednesday, GSCI futures at the CME traded 1,543 contracts with an end-of-day open interest of 14,261 lots. The GSCI index consists of 26 futures contracts and is weighted 60 percent or more toward oil, gas and other energy commodities. The DJ-AIGCI's 20 component commodities are aluminum, cattle, cocoa, coffee, copper, corn, cotton, crude oil, gold, heating oil, hogs, natural gas, nickel, silver, soybeans, soybean oil, sugar, unleaded gasoline, wheat and zinc. The index, published in the Wall Street Journal and available on Reuters page , is produced by Dow Jones Indexes and AIG Trading Group Inc, a unit of American International Group (NYSE:AIG - news).