Weather Prompts Early Close of Fixed-Income Markets
A 1 p.m. close for the fixed-income markets, due to heavy rain and anticipated commuting problems, has been recommended by the
Bond Market Association
. However, the
Chicago Board of Trade
, where bond futures and options contracts are traded, will not be closing early, according to a spokeswoman for the CBOT.
This unusual weather-related recommendation raised the specter of whether trading desks will close early because futures trading will remain open. However, sources at the government desks at
TheStreet Recommends
Salomon Smith Barney
and
Merrill Lynch
(MER)
said they would adhere to the Bond Market Association's recommendations. The Bond Market Association's schedule for early closes is usually the same as the CBOT's schedule.
The recommendation applies to trading of U.S. government securities, mortgage- and asset-backed securities, over-the-counter investment-grade corporate bonds, municipal bonds, and secondary money-market trading in bankers acceptances, commercial paper and Yankee and Euro certificates of deposit.
