ICE FCOJ-A

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The ICE FCOJ-A contract is the world benchmark contract for the frozen concentrated orange juice market. The contract prices physical delivery of exchange-grade product (with grading performed by the U.S. Department of Agriculture). It is traded through ICE's futures subsidiary ICE Futures U.S.[1]

Orange juice futures were launched in 1966 by the New York Cotton Exchange after consulting with the orange grower industry in Florida. The NYCE created a new division, which was a separate exchange, the Citrus Associates of the New York Cotton Exchange. Citrus Associates merged with several other exchanges to create the New York Board of Trade, which was later bought by InterContinental Exchange and rebranded ICE Future U.S.

Orange juice futures are the “youngest” traditional commodity futures market, introduced in 1966, with options trading since 1985. Not From Concentrate Orange Juice futures and options came along in 2006.[2]

On Dec. 13, 2007, the exchange announced the temporary delisting of the July 2009 expiry and all subsequent months and instituted a temporary moratorium on listing new contract months while changes to the futures contract terms were being considered.

Then, on March 14, the exchange said that effective with the July 2009 expiration, it would amend its rules for the FCOJ-A futures contract, adding Mexico and Costa Rica as countries of origin deliverable under the contract. Prior to the change, only product of Florida and/or Brazil was allowed. [3] At the same time, the exchange is implementing amendments to Licensing Rules 7.63 and 7.64, which support the revised product origin standard with regard to storage and loadout of product in exchange deliveries. Along with the implementation of the changes, the exchange said it would resume trading of the months that were temporarily delisted, and would resume the regular listing of additional contract months.

Uses[edit]

The frozen concentrated orange juice product, which was developed around 1946, requires 80% of the annual Florida orange crop to meet consumer demand. In 1948, U.S. patent No. 2,453,109 was issued to Florida researchers for the process to manufacture FCOJ with the addition of approximately 10% fresh juice to the final product.

When FCOJ is prepared from fresh juice there is very little loss of nutritional value. For example, 98% of the Vitamin C, the most abundant vitamin in fresh orange juice, is retained in FCOJ. This is a loss of only 2% in the process of juice extraction, juice concentration and freezing.[4]

Data Quotes[edit]

ICE offers data quotes on a subscription basis.[5]

FCOJ-A Futures
Trading Screen Product Name FCOJ-A Futures
Trading Screen Hub Name NYCC
Contract Symbol OJ
Contract Size 15,000 pounds of orange juice solids (3% or less)
Price Quotation Cents and hundredths of a cent to two decimal places
Contract Series January, March, May, July, September, November.
Minimum Price Fluctuation 5/100 of a cent per pound ( $7.50/contract / )
Settlement Physical Delivery
Grade/Standards/Quality US Grade A with a Brix value of not less than 62.5 degrees
Daily Price Limit Ten cents per pound above/below the prior day settlement price. NOTE: this limit is subject to expansion under certain conditions, please see FCOJ Rule 13.08[6]
Delivery Locations Exchange licensed warehouses in Florida, New Jersey, and Delaware
Deliverable Origins U.S., Brazil, Costa Rica and Mexico.
First Notice Day First business day of contract month
Last Trading Day 14th business day prior to the last business day of the month
Last Notice Day Fifth business day prior to the last business day of the contract month
Position Limit Position Limit and Position Accountability information for all IFUS products can be found here.[7]
Markers TAS (Trade at Settlement)[8]
MIC Code IFUS
Clearing Venues ICUS
Trading Hours CITY TRADING PRE-OPEN
NEW YORK 4:15 AM - 1:30 PM

04:15 - 13:30

8:00 PM

20:00

LONDON 9:15 AM - 6:30 PM

09:15 - 18:30

1:00 AM

01:00

SINGAPORE 5:15 PM - 2:30 AM

17:15 - 02:30

9:00 AM

09:00

**In addition to the Pre-Open start time shown above, there will be a Post-Close Pre-Open order entry session from 2:00 pm to 6:00 pm NY time on the prior Exchange business day.
Codes Clearing Admin Name Coffee C
Physical KC
Logical KC
GMI (FC) 43
ION A.C.N. 2065
FCOJ-A Options
Trading Screen Product Name FCOJ-A Futures
Trading Screen Hub Name NYCC
Contract Symbol OJ
Contract Size OJ= One FCOJ-A futures contract (15,000 pounds of orange juice solids)
Contract Series Regular months: January, March, May, July, September and November; Serial months: February, April, June, August, October and December. For a serial option, the underlying future is the next Regular futures contract month
Price Quotation Cents and hundredths of a cent to two decimal places
Minimum Price Fluctuation 5/100 of a cent per pound ($7.50/contract)
Strike Price Intervals 5-cent increments for all contract months.
Last Trading Day The third Friday of the month preceding named option month.
Expiration Date Until 17:00 Eastern time on any trading day including last trading day. Automaticexercise at one tick or more in-the-money at expiration on last trading day
Position Limit Position Limit and Position Accountability information for all IFUS products can be found here.[9]
MIC Code IFUS
Clearing Venues ICUS
Trading Hours CITY TRADING PRE-OPEN
NEW YORK 8:00 AM - 2:00 PM

08:00 - 14:00

8:00 PM

20:00

LONDON 1:00 PM - 7:00 PM

13:00 - 19:00

1:00 AM

01:00

SINGAPORE 9:00 PM - 3:00 AM

21:00 - 03:00

9:00 AM

09:00

Codes Clearing Admin Name FCOJ A
Physical OJ
Logical OJ
GMI (FC) 96
ION A.C.N. 2200

References[edit]

  1. Orange Juice. InterContinentalExchange.
  2. Orange Juice. InterContinentalExchange.
  3. Press Release. Intercontinental Exchange.
  4. Frozen Concentrated Orange Juice From Florida Oranges. University of Florida-IFAS Extension.
  5. The most valuable commodity is information. ICE.
  6. FCOJ Rulebook. {{{org}}}.
  7. Position Limit and Position Accountability Information. {{{org}}}.
  8. TAS. {{{org}}}.
  9. Position Limit and Position Accountability Information. {{{org}}}.

Resources[edit]

ICE FCOJ-A Product Specs