ZN (10-Year US Treasury Note Futures)
The 10-Year US Treasury Note futures contract on CBOT — $100,000 face value per contract with 1/64th tick increments and $15.625 per tick. The most actively traded treasury futures contract.
What is ZN (10-Year US Treasury Note Futures)?
ZN is the symbol for the 10-Year US Treasury Note futures contract, traded on CBOT (part of CME Group). Each contract represents $100,000 face value of US Treasury notes with maturity 6.5-10 years. The contract is the most actively traded treasury futures contract by volume, with daily volume routinely exceeding 1.5 million contracts — making it the benchmark for 10-year US interest rate expectations.
ZN tick size is 1/64th of a point (half the granularity of ZB’s 1/32nd). One full point = $1,000; one tick (1/64) = $15.625. The finer tick increment combined with high liquidity makes ZN the preferred treasury contract for most prop firm traders.
ZN’s shorter duration vs ZB means each percentage-point rate change moves ZN less than ZB. But ZN’s deeper liquidity and tighter spreads make it more practical for retail-size strategies. Most prop firm rate trading happens on ZN unless the trader has a specific 30-year duration view.
How ZN (10-Year US Treasury Note Futures) works
ZN contract specifications (May 2026):
- Symbol: ZN (sometimes ZN1! or @ZN)
- Exchange: CBOT Globex (CME Group)
- Underlying: US Treasury notes with maturity 6.5-10 years
- Contract size: $100,000 face value
- Tick size: 1/64th of a point (half of 1/32)
- Tick value: $15.625 per tick
- Point value: $1,000 per full point
- Contract months: March, June, September, December
- Trading hours: Sun 6:00 PM ET-Fri 5:00 PM ET, 1-hour daily break
- Settlement: Physical delivery (rare in retail)
Margin: Day-trading $400-$1,000 per contract at most prop firms. CME initial margin ~$2,000-$3,500.
Price quote convention: ZN uses 32nds notation with optional half-ticks (1/64ths). “112’160” means 112 + 16/32 = 112.50. “112’165” means 112 + 16.5/32 (the 5 representing the half-tick). Modern platforms display decimal equivalents.
Volatility profile:
- Daily range typically 0.25-0.75 points (16-48 ticks) = $250-$750 per contract
- FOMC days: 0.5-1.5 point moves common = $500-$1,500 per contract
- NFP days: 0.25-0.75 points typical
Why ZN is preferred over ZB: 3-5x deeper liquidity, tighter bid-ask spreads, smaller per-tick dollar impact for finer position sizing. Most retail prop firm traders use ZN for general rate trading and only touch ZB for specific 30-year duration plays.
Worked example
Setup: Trader on TPT $100K PRO+ funded account holds 1 ZN long from 112’16 (112.50), stop at 112’08 (112.25 = 16 ticks = $250 risk), target at 113’00 (113.00 = 32 ticks = $500 reward). Risk/reward 1:2.
Outcome — soft NFP pushes rates lower:
- NFP misses estimates; 10-year yield drops 5 basis points.
- ZN rallies as rates fall.
- Price reaches 113’00 within 30 minutes of the report.
- Gross P&L: +32 ticks × $15.625 = +$500
- Commission ~$3.50 round-trip → Net ~$496.50
Comparison to ZB on same rate move: Same 5bp rate move on ZB typically produces +0.40-0.50 points (12-16 ticks at $31.25 = $375-$500). Similar dollar P&L per rate move because ZN’s higher liquidity and finer ticks compensate for ZB’s larger duration. For most trades, ZN delivers similar P&L with better fills.
ZN (10-Year US Treasury Note Futures) vs related concepts
Side-by-side comparison of ZN (10-Year US Treasury Note Futures) against the most commonly confused alternatives.
| Concept | Definition | Category |
|---|---|---|
| ZN (10-Year US Treasury Note Futures) this term | The 10-Year US Treasury Note futures contract on CBOT — $100,000 face value per contract with 1/64th tick increments and $15.625 per tick. The most actively traded treasury futures contract. | Specific Contracts |
| ZB (30-Year US Treasury Bond Futures) | The 30-Year US Treasury Bond futures contract on CBOT — $100,000 face value per contract with 1/32nd tick increments and $31.25 per tick. | Specific Contracts |
| ES (E-mini S&P 500 Futures) | The E-mini S&P 500 futures contract — the most actively traded equity index future in the world, tracking the S&P 500 index with $50 per point and $12.50 per 0.25-tick. | Specific Contracts |
| GC (Gold Futures) | The standard Gold futures contract on COMEX — 100 troy ounces per contract with $0.10 tick size and $10 per tick. The dominant gold trading vehicle for futures prop firms. | Specific Contracts |
| Futures Contract | A standardized agreement to buy or sell a specific quantity of an underlying asset at a predetermined price on a specified future date — the foundational instrument of futures markets. | Futures Mechanics |
| Point Value | The dollar value of a one-point price movement on a futures contract — equal to the contract multiplier; a key input to position sizing math. | Futures Mechanics |
| Margin | The capital deposit required to open and hold a futures position — set by the exchange (initial margin) and broker (day-trade margin), typically 5-15% of contract notional value. | Futures Mechanics |
Why traders fail ZN (10-Year US Treasury Note Futures)
Misreading the 32nds quote with half-ticks. 112’165 is 112 + 16.5/32 = 112.515625. “5” at the end is a half-tick (1/64 of 1 point). Setting a stop at “112’12” means 112 + 12/32 = 112.375, NOT 112.12. Always use platform decimal display when learning ZN.
Sizing ZN identically to ZB. ZN tick is $15.625; ZB tick is $31.25. Position sizes calibrated to ZB drawdown profile expose 2x in dollar terms when applied to ZN, even though percentage rate moves are similar.
Trading ZN through high-impact news at full size. ZN can move 0.50-1.00 points ($500-$1,000 per contract) in 60 seconds during FOMC release or hot CPI prints. Most experienced rate traders flatten ZN before scheduled releases.
Ignoring yield-curve context. ZN moves are partly driven by Fed policy (short end of curve) and partly by long-term inflation expectations (long end). A trader watching only ZN without ZF (5-year) and ZB (30-year) misses curve-flattening or steepening signals that often precede ZN-specific moves.
Frequently asked questions about ZN (10-Year US Treasury Note Futures)
What is ZN futures?
ZN is the 10-Year US Treasury Note futures contract on CBOT (CME Group), representing $100,000 face value of treasury notes with maturity 6.5-10 years. Tick size is 1/64th of a point ($15.625 per tick), full points are $1,000. ZN is the most actively traded treasury futures contract.
How do I read ZN price quotes?
ZN uses 32nds notation with optional half-ticks (1/64). 112'16 means 112 + 16/32 = 112.50. 112'165 means 112 + 16.5/32 = 112.515625. Most platforms display decimal equivalents.
What is the difference between ZN and ZB?
ZN is 10-Year T-Note futures (shorter duration, smaller moves per rate change, deeper liquidity). ZB is 30-Year T-Bond futures (longer duration, bigger moves, less liquid). ZN has $15.625 tick value vs ZB's $31.25. Most prop firm rate trading happens on ZN.
What is the day-trading margin for ZN?
Day-trading margin for ZN is $400-$1,000 per contract at most futures prop firms — among the lowest among major futures contracts. The CME exchange initial margin for overnight holds is approximately $2,000-$3,500 per contract.
Why is ZN so liquid?
10-Year Treasury futures are the global benchmark for US interest rate expectations. Pension funds, insurance companies, asset managers, and central banks all hedge or position in ZN. The combination of institutional usage and retail interest produces 1.5M+ daily contract volume — among the most liquid futures contracts in the world.