Bank of America, ABN Amro, Barclays Capital, HSBC, Royal Bank of Scotland, Skandinaviska Enskilda Banken (SEB), Société Générale and Fimat International Banque have signed up to beta test the CME on Reuters FX dealing service.
Beta testing of the service is expected to begin by the end of Q4 2004, with the launch shortly afterwards.
CME's eFX markets, traded on its Globex platform, will be accessible via Reuters Dealing 3000 desktop with straight-through processing of trades in Reuters Ticket Output Feed (TOF) standard.
Quotes on CME's eFX products will appear in spot (or cash) equivalent terms thereby easing price comparisons between the two markets. Because of the financial guarantees provided by CME's Clearing House, banks will also be able to trade with non-bank participants in a credit-enhanced environment
UK software house FfastFill has been selected to provide related order execution and risk management services to Dealing 3000 users and has signed SEB - the only European based direct clearing member of the CME - to its managed services programme for the beta run.
Michael McCorkle, Reuters Treasury business manager, says: "This initiative will provide Reuters customer base with easy access to another significant pool of liquidity with relevance to institutions of all sizes."