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ZF futures explained: how 5-year Treasury note futures move

ZF sits in the middle of the US interest rate world. Long enough to care about inflation, short enough to react hard to every hint about the Fed's next few moves.

Market guide · 6-minute read · Updated 2026-10-21

At a glance

Specs checked Oct 2026. Check cmegroup.com for current specs before you trade.

How the price works

ZF is quoted in points, 32nds and quarters of a 32nd. Platforms write it different ways, so check how yours shows it. One full point is $1,000. One 32nd is $31.25. One quarter of a 32nd, the smallest tick, is $7.8125.

The core rule matches every bond future: price up means yields down.

Why the 5-year is special

Rates of different lengths answer different questions.

• Short rates follow today's Fed rate.
• Long rates reflect inflation and growth over decades.
• The 5-year reflects where traders think the Fed will take rates over the next few years.

So ZF often reacts most when the Fed changes its outlook. That's a lesson in how the Yield curve works.

What moves it

• The Fed. The FOMC statement at 2:00 pm ET, the press conference at 2:30 pm, and the Fed's rate projections four times a year. Our FOMC guide explains each part.
• Inflation. CPI at 8:30 am ET and the PCE report (the Fed's preferred inflation gauge).
• Jobs. The jobs report, usually the first Friday at 8:30 am ET, and weekly jobless claims on Thursdays.
• Auctions. New 5-year notes are sold each month, usually at 1:00 pm ET.
• Fear. In a scare, money often runs to Treasuries, lifting ZF.

When it's busiest

CME hours follow Chicago time, which changes clocks with New York, so the ET times stay fixed.

• Evening and overnight: usually quiet.
• 3 am ET: Europe adds volume.
• 8:30 am ET: data.
• 8:20 am – 3:00 pm ET: the main session.

Its personality

• Small ticks, steady moves. At $7.8125 a tick, ZF moves in smaller dollar steps than ZN or ZB.
• Fed-sensitive. A change in the expected path of rates hits ZF hard.
• Lots of ticks per move. Because the tick is small, a normal day can cover many ticks. Count in dollars, not ticks.
• Expires quarterly. March, June, September and December, settled by delivery of notes. Most traders roll before the delivery month. See Contract rollover.

Reading it with our method

1. Daily chart first. Mark the last places price turned around. Is ZF making higher highs and higher lows (yields falling), or lower ones?
2. Check the bigger rate picture. If ZN points the same way, the story is clearer.
3. Body-close rule. Fed and CPI candles leave long tails. Only a body close counts.
4. Stop first, size second. Example: your stop is 20 ticks away. 20 × $7.8125 = $156.25 of risk per contract. If your plan says $100, one contract is too big. A math example, not a promise.

The futures tick value calculator does this in seconds.

Common mistakes

• Counting ticks instead of dollars. 40 ticks sounds big but is $312.50. Always convert.
• Misreading the price format. Quarters of a 32nd look odd. Learn your platform's display first.
• Trading the 2:00 pm Fed release blind. Many traders wait for the press conference to finish.
• Holding into delivery. Roll before the contract month.

Questions