The S&P 500 is one of the widely recognized indices and its futures contract and corresponding electronic mini contract remain among the most popular on a global scale. As inferred by its name, this index of 500 of the largest companies in the US includes recognizable names like AT&T and Chevron and may be widely regarded as an indicator for equities markets. While exploring the overall S&P 500, specifications will refer to the futures contract traded on the CME.
$250 x index price
Minimum fluctuation is 0.10 index points or $25
March, June, September, December
Trades open outcry and Globex (electronic) per the following schedule:
Electronic: Mon -Thurs: 3:30 p.m.-8:15 a.m. (daily maintenance shutdown from 4:30 p.m.-5:00 p.m.) Sun: 5:00 p.m.-8:15 a.m. Central Time
Open Auction: Mon-Fri: 8:30 a.m. -3:15 p.m. Central Time
RTH: Successive 10%, 20%, 30% limits (downside only) ETH (overnight): 5% up or down
Please consult exchange for additional details on limits.
The constituents of the S&P 500 are part of the large cap sector of the equities market and, since they invlude such a portion of the market, are often considered a representation of the market as a whole. Comprised of some of the largest companies in some of the largest industries in the world, members are classified according to the Global Industry Classification Standard (GICS) and the breakdown of sectors can be roughly illustrated as follows:
The S&P 500 is maintained by an index committee which meets monthly and discusses statistics, candidates, and any corporate actions which may affect constituents. The committee selects member companies and although they try to avoid turnover the members are not always the same. Collectively by capital, members do comprise approximately 75% of the US equities market. The S&P 500 used to be a value-weighted index in which members or components were weighed by the overall market value of outstanding shares. Now a float-adjusted index, the value of the index is a reflection of the value of publicly available shares or those shares available to investors.
The most recent update included the following component companies (on January 26th, 2011, Covidien will replace McAfee):
Historic price milestones for the S&P 500 index include the following:
| Milestone | Closing Level | Date |
| 100 | 100.38 | June 4, 1968 |
| 200 | 201.41 | November 21, 1965 |
| 300 | 301.16 | March 23, 1987 |
| 400 | 404.84 | December 26, 1991 |
| 500 | 500.97 | March 24, 1995 |
| 600 | 600.07 | November 17, 1995 |
| 700 | 700.66 | October 11, 1996 |
| 800 | 802.77 | February 12, 1997 |
| 900 | 904.03 | July 2, 1997 |
| 1,000 | 1,001.27 | February 2, 1998 |
| 1,100 | 1,105.65 | March 24, 1998 |
| 1,200 | 1,202.84 | December 21, 1998 |
| 1,300 | 1,307.26 | March 15, 1999 |
| 1,400 | 1,403.28 | July 9, 1999 |
| 1,500 | 1,500.64 | March 22, 2000 |
Public Float - refers to the number of outstanding shares of a public company that are held by private investors rather than company officers and controlling-interest investors.
Large Cap - rrefers to companies which have a large market capitalization value (above $10 million), often calculated by multiplying outstanding shares by share price. Exact definitions or values may vary.
For the futures contract on the S&P 500, the commonly watched factors which may affect trade include economic reports or events. This may include the following:
In addition to weekly and monthly reports, corporate earnings and activities such as mergers and acquisitions may affect price and volatility. There are nearly countless national and global events that can be considered in relation to how they may affect member shares and the overall index value.
As a benchmark index, the S&P 500 can be used by fund managers, speculators, analysts and rating companies as a performance standard against which they can compare their own performance or the performance of others. The S&P 500 futures contract has also been used to accommodate a range of both speculator and hedger trading strategies.
