The Minneapolis Grain Exchange (MGEX) is a commodities and futures exchange of grain products. It was formed in 1881 in

Minneapolis Minneapolis is a city in Hennepin County, Minnesota, United States, and its county seat. With a population of 429,954 as of the 2020 United States census, 2020 census, it is the state's List of cities in Minnesota, most populous city. Locat ...

Minnesota Minnesota ( ) is a U.S. state, state in the Upper Midwestern region of the United States. It is bordered by the Canadian provinces of Manitoba and Ontario to the north and east and by the U.S. states of Wisconsin to the east, Iowa to the so ...

, United States as a regional cash

marketplace A marketplace, market place, or just market, is a location where people regularly gather for the purchase and sale of provisions, livestock, and other goods. In different parts of the world, a marketplace may be described as a ''souk'' (from ...

to promote fair trade and to prevent trade abuses in

wheat Wheat is a group of wild and crop domestication, domesticated Poaceae, grasses of the genus ''Triticum'' (). They are Agriculture, cultivated for their cereal grains, which are staple foods around the world. Well-known Taxonomy of wheat, whe ...

, oats and

corn Maize (; ''Zea mays''), also known as corn in North American English, is a tall stout Poaceae, grass that produces cereal grain. It was domesticated by indigenous peoples of Mexico, indigenous peoples in southern Mexico about 9,000 years ago ...

. MGEX became a subsidiary of Miami International Holdings after the two companies merged in 2020. MGEX has been the principal market for Hard Red Spring Wheat (HRSW) since 1881, offering futures and options contracts based on its unique commodity. HRSW is one of the highest-

protein Proteins are large biomolecules and macromolecules that comprise one or more long chains of amino acid residue (biochemistry), residues. Proteins perform a vast array of functions within organisms, including Enzyme catalysis, catalysing metab ...

wheats. It is found in

bagel A bagel (; ; also spelled beigel) is a bread roll originating in the Jewish communities of Poland. Bagels are traditionally made from yeasted wheat dough that is shaped by hand into a torus or ring, briefly boiled in water, and then baked. ...

pizza Pizza is an Italian cuisine, Italian, specifically Neapolitan cuisine, Neapolitan, dish typically consisting of a flat base of Leavening agent, leavened wheat-based dough topped with tomato, cheese, and other ingredients, baked at a high t ...

s, high-quality

bread Bread is a baked food product made from water, flour, and often yeast. It is a staple food across the world, particularly in Europe and the Middle East. Throughout recorded history and around the world, it has been an important part of many cu ...

s and

cereals A cereal is a grass cultivated for its edible grain. Cereals are the world's largest crops, and are therefore staple foods. They include rice, wheat, rye, oats, barley, millet, and maize (Corn). Edible grains from other plant families, suc ...

, and some noodles and cookies. It is planted mostly in the U.S. Northern Plains and the

Canadian Prairies The Canadian Prairies (usually referred to as simply the Prairies in Canada) is a region in Western Canada. It includes the Canadian portion of the Great Plains and the Prairie provinces, namely Alberta, Saskatchewan, and Manitoba. These provin ...

Operations

MGEX offers five financially settled agricultural index products: Hard Red Spring Wheat Index (HRSI), Hard Red Winter Wheat Index (HRWI), Soft Red Winter Wheat Index (SRWI), National Corn Index (NCI) and National Soybean Index (NSI). In an agreement with Data Transmission Network (now Telvent DTN), a

business-to-business Business-to-business (B2B or, in some countries, BtoB) refers to trade and commercial activity where a business sees other businesses as its customer base. This typically occurs when: * A business sources materials for its production process for ...

electronic commerce and information services company in

Omaha, Nebraska Omaha ( ) is the List of cities in Nebraska, most populous city in the U.S. state of Nebraska. It is located in the Midwestern United States along the Missouri River, about north of the mouth of the Platte River. The nation's List of United S ...

, MGEX has exclusive rights to DTNs agriculture and weather data bases, which the exchange uses to develop

index Index (: indexes or indices) may refer to: Arts, entertainment, and media Fictional entities * Index (''A Certain Magical Index''), a character in the light novel series ''A Certain Magical Index'' * The Index, an item on the Halo Array in the ...

products. Futures are traded exclusively electronically on the CME Globex platform. Options are traded side-by-side.

History

Founded as the Minneapolis Chamber of Commerce in 1881, the MGEX has been a marketplace for producers, processors and millers for more than 125 years. The three Grain Exchange buildings in downtown Minneapolis are now listed on the

National Register of Historic Places The National Register of Historic Places (NRHP) is the Federal government of the United States, United States federal government's official United States National Register of Historic Places listings, list of sites, buildings, structures, Hist ...

. In 1883, the Chamber of Commerce introduced its first futures contract: hard red spring wheat. By 1946 "Chamber of Commerce" had become synonymous with organizations devoted mainly to civic and social issues. In 1947, the exchange was renamed the Minneapolis Grain Exchange. Today the exchange is most recognized by its logo and uses MGEX as first reference. On December 19, 2008, the Minneapolis Grain Exchange ceased operations of the

open outcry Open outcry is a method of communication between professionals on a stock exchange or futures exchange, typically on a trading floor. It involves shouting and the use of Hand signaling (stock market), hand signals to transfer information pri ...

trading floor, but continues daily operations for the electronic processing of financial transactions. Today, HRSW futures trade exclusively electronically and options trade side-by-side.

Ownership

In 2022, MGEX was owned by Miami International Holdings.

Notes

External links

Minneapolis Grain ExchangeMGEX Data Warehouse
an
Globex Audit Trail Parser
distribution site. {{Authority control Financial services companies established in 1881 Art Nouveau architecture in Minnesota Art Nouveau commercial buildings Commercial buildings completed in 1900 Commercial buildings on the National Register of Historic Places in Minnesota Commodity exchanges in the United States Futures exchanges Grain trade National Register of Historic Places in Minneapolis

Operations

History

Ownership

See also

Notes

Further reading

External links