Brokers see buying opportunity after stock exchanges dip on single-stock perpetual futures approval

By Reuters News

** Shares of Cboe Global CBOE.Z, CME Group CME.O, Nasdaq NDAQ.O and Intercontinental Exchange ICE.N were pressured on Tuesday after a US regulator cleared path for single-stock perpetual futures to trade in the US as security futures products

** TD Cowen sees weakness as a buying opportunity for CBOE, NDAQ and CME

** Piper Sandler says move is constructive for derivatives venues looking to bring crypto-style products onshore and a major step for challenger venues

** In our view, it's more of an opportunity to bring a new cohort of risk-seeking retail traders into US equity markets than an immediate threat to traditional exchanges' equity and options businesses - Piper Sandler analysts led by Patrick Moley

** Perpetual futures are never-expiring derivatives products, allowing traders to hold positions indefinitely without rolling them over

** Cboe, Citadel Securities-backed group filed a federal lawsuit on Tuesday, aiming ​to block US Commodity Futures Trading Commission from authorizing single-stock perpetual futures

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