Trading patterns obtained by FO Week indicate that
investors believe Chicago Board of Trade (CBoT) could receive a
third takeover bid as they stand divided over which of the two
current suitors is most likely to win CBoT's hand.
Sources say CBoT could get a higher bid from Chicago
Mercantile Exchange (CME), Intercontinental Exchange (ICE) or
even a fresh bid. Market rumours that NYSE Euronext could be
seeking to buy a US futures exchange have led some to believe
John Thain's exchange could be the third party in question (see
"Call options [on CBoT stock] have been very much in demand
since 11 May [the day CME upped its bid to $9.9bn]," said
Andrew Wilkinson, senior market analyst at Interactive Brokers
- highlighting that there could still be room for CBoT's share
price to rise higher as potential buyers battle it out among
themselves. "Currently the open interest ratio favours the
bulls with 34,000 calls held compared to 25,000 puts,"
Wilkinson added. One industry expert described this as "very
significant," adding that "investors have a net sense that the
price could go higher".
This article is available exclusively to subscribers
Please log in to continue reading.
Not yet a subscriber?
Click here to take a free trial.
Already have an account? |
Please fill in your details below and a customer service representative will contact you.