Chicago Butter and Egg Board
Chicago Butter and Egg Board is a commodity market that was established in the late 19th century in Chicago, United States. It was one of the earliest futures and commodity exchanges in the world, and it played a significant role in the development of the modern futures contract.
History[edit | edit source]
The Chicago Butter and Egg Board was established in 1898 as a spin-off from the Chicago Board of Trade. The Board was created to provide a centralized marketplace for the buying and selling of butter and egg products, which were significant commodities in the American Midwest at the time.
The Board was instrumental in the development of the modern futures contract. It was here that the concept of a standardized contract for the future delivery of a commodity was first implemented on a large scale. This innovation allowed for greater market efficiency and reduced the risk associated with price fluctuations in the butter and egg markets.
Impact[edit | edit source]
The Chicago Butter and Egg Board had a significant impact on the commodity markets and the broader economy. The introduction of futures contracts allowed for more efficient price discovery and risk management in the butter and egg markets. This, in turn, contributed to the growth and development of the American Midwest's agricultural sector.
The Board's success also led to its model being replicated in other commodity markets. Its practices and innovations have been adopted by other exchanges around the world, contributing to the development of the global commodity markets.
Legacy[edit | edit source]
In 1919, the Chicago Butter and Egg Board was reorganized and renamed the Chicago Mercantile Exchange (CME). Today, the CME is one of the world's leading and most diverse derivatives marketplaces, offering a wide range of futures and options products for risk management.
The legacy of the Chicago Butter and Egg Board lives on in the CME and in the broader commodity markets. Its innovations in futures contracts continue to underpin the functioning of these markets, and its impact on the economy of the American Midwest is still felt today.
Search WikiMD
Ad.Tired of being Overweight? Try W8MD's physician weight loss program.
Semaglutide (Ozempic / Wegovy and Tirzepatide (Mounjaro / Zepbound) available.
Advertise on WikiMD
|
WikiMD's Wellness Encyclopedia |
| Let Food Be Thy Medicine Medicine Thy Food - Hippocrates |
Translate this page: - East Asian
中文,
日本,
한국어,
South Asian
हिन्दी,
தமிழ்,
తెలుగు,
Urdu,
ಕನ್ನಡ,
Southeast Asian
Indonesian,
Vietnamese,
Thai,
မြန်မာဘာသာ,
বাংলা
European
español,
Deutsch,
français,
Greek,
português do Brasil,
polski,
română,
русский,
Nederlands,
norsk,
svenska,
suomi,
Italian
Middle Eastern & African
عربى,
Turkish,
Persian,
Hebrew,
Afrikaans,
isiZulu,
Kiswahili,
Other
Bulgarian,
Hungarian,
Czech,
Swedish,
മലയാളം,
मराठी,
ਪੰਜਾਬੀ,
ગુજરાતી,
Portuguese,
Ukrainian
Medical Disclaimer: WikiMD is not a substitute for professional medical advice. The information on WikiMD is provided as an information resource only, may be incorrect, outdated or misleading, and is not to be used or relied on for any diagnostic or treatment purposes. Please consult your health care provider before making any healthcare decisions or for guidance about a specific medical condition. WikiMD expressly disclaims responsibility, and shall have no liability, for any damages, loss, injury, or liability whatsoever suffered as a result of your reliance on the information contained in this site. By visiting this site you agree to the foregoing terms and conditions, which may from time to time be changed or supplemented by WikiMD. If you do not agree to the foregoing terms and conditions, you should not enter or use this site. See full disclaimer.
Credits:Most images are courtesy of Wikimedia commons, and templates Wikipedia, licensed under CC BY SA or similar.
Contributors: Prab R. Tumpati, MD
