CFTC to CME: 24/7 oil? Let's not. 24/7 perps? Sure, bet on the Knicks 🏀

The U.S. Commodity Futures Trading Commission is weighing whether to block the Chicago Mercantile Exchange's plan to launch 24/7 oil futures trading, citing concerns that round-the-clock activity could amplify price swings during periods of geopolitical stress, according to a Bloomberg report. The CFTC said, "Round-the-clock trading may not be suitable for crude oil because it could worsen already extreme volatility during periods of geopolitical stress," and indicated those concerns "may justify withholding approval for the contract." The agency was reportedly caught off guard by the CME's Thursday announcement of the new product.

The CME plans to debut the contract, dubbed the 10-Barrel WTI Crude Oil contract, by the end of August pending regulatory clearance. The product is positioned as a smaller, more accessible version of the exchange's existing WTI Micro futures. CME Group Senior Managing Director and Global Head of Commodities Markets Derek Sammann said the launch, alongside a parallel 24/7 gold futures contract, is intended to give traders continuous tools to manage exposure. "Our new WTI and Gold futures provide regulated products that are right-sized and available 24/7, ensuring traders can manage exposure whenever news breaks," Sammann said.

The push is part of a broader CME effort to extend round-the-clock trading across asset classes, following its recent rollout of 24/7 crypto futures. The expanded oil and gold offering comes as the exchange faces mounting competition from crypto-native and cross-asset platform Hyperliquid, which became a key venue for oil and gold price discovery in early 2026 as the West Asian crisis intensified, particularly during weekends when traditional venues were closed. CME and NYSE parent Intercontinental Exchange have pressed the CFTC to regulate Hyperliquid over alleged market manipulation claims, which Hyperliquid has dismissed as "unfounded."

Bloomberg analyst Larry Tabb publicly questioned the regulatory stance, writing: "So wait, the CFTC is upset with CMEGroup with real economically important contracts going 24×5 or 7, but perps can go 24×7, and betting on the Knicks 24×7 is economically important. Something isn't right here." It remains to be seen whether the CFTC will formally withhold approval for the CME's oil contract or clear it for launch by the end of August.