10-Year Yield Futures Futures Margin & Contract Specifications

What are Micro U.S. 10-Year Yield Futures?

Micro U.S. 10-Year Yield Futures (ticker: 10Y), launched by the Chicago Mercantile Exchange (CME), are futures contracts that track movements in the U.S. 10-Year Treasury yield.
Unlike traditional 10-Year Treasury futures, which are quoted in terms of bond price, these contracts directly follow changes in the yield, allowing investors to trade more intuitively based on their view of interest rates.

Tick size: 0.005%

Tick value: USD 5

Margin requirement: Lower than standard contracts due to the micro design, making them more accessible for smaller investors.

Key Factors Affecting Yield Futures

Federal Reserve policy and rate expectations

Anticipated rate hikes by the Fed tend to push short- and medium-term yields higher.

Rate cuts generally bring yields lower.

Economic data releases

Reports such as CPI, PPI, non-farm payrolls, and retail sales influence market expectations on inflation and growth, impacting the yield curve.

Market risk sentiment

During risk-off events (e.g., geopolitical tensions, stock market sell-offs), investors flock to Treasuries, pushing yields lower.

Risk-on sentiment usually drives yields higher.

U.S. Treasury supply and fiscal deficit

Increased issuance of government bonds raises supply pressure, potentially driving yields upward.

Inflation expectations and real rates

Rising inflation pushes nominal yields higher, often faster than real rates.

Trading Hours (Taiwan Time)

• Opening: Monday 06:00 (Sunday 17:00 ET)
• Trading session: Monday through Saturday 05:00 (continuous electronic trading)
• Daily maintenance break: 05:00–06:00 (pause in trading)

Volatility Controls

Although not subject to equity-style circuit breakers, extreme yield volatility may trigger higher margin requirements or risk control adjustments by brokers or the exchange.

Product Significance

 

Micro 10-Year Yield Futures are an innovative product developed by CME for the interest rate market, particularly suitable for investors looking to express or hedge views on U.S. interest rate trends.

The U.S. 10-Year Treasury yield is a global benchmark, influencing bonds, equities, FX, and derivatives.

This micro contract allows broader market participation with smaller capital outlay, serving both as a hedging tool and as a way to trade directional views on rates.

Overall, Micro U.S. 10-Year Yield Futures combine simplicity, flexibility, and low margin requirements. However, since yields are highly sensitive to macroeconomic conditions and FOMC policy decisions, investors are advised to stay informed on key economic indicators and Fed outlooks to use this product effectively.

10-Year Yield Futures Margin

How much money is needed to trade futures? At the beginning, the required margin is the initial margin. While holding a position, the margin after deducting floating profits and losses must remain above the maintenance margin; otherwise, a margin call will be issued. For day-trading margin, only half of the margin is required, provided the position is closed before the market closes.

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10-Year Yield Futures Contract Specifications

Here is a summary for traders of the contract specifications, exchange, trading hours, minimum price fluctuation, and available trading months for 10-Year Yield FuturesFutures.

10-Year Yield FuturesLast Trading Day

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