Futures and options specialists expressed a wide range of reactions today to the report in a Chicago newspaper that CME Group was talking to the Chicago Board Options Exchange about a possible $5bn takeover of the equity options exchange.
Crain’s Chicago Business reported the talks today (October 19) in a story that was not confirmed by either exchange but quoted people with knowledge of the situation.
Frederick Grede, chairman of Vega Financial Engineering, a consultancy, and a former long-time Chicago Board of Trade executive, based in Chicago, told Futures and Options Intelligence today that this move had been “a long time coming”.
Grede said: “It’s always been a dream, a desire to unify or merge the Chicago exchanges,” on the part of the “industry leaders”.
Describing the mood in Chicago, he said: “Market participants are always looking to lower their...