LONDON and CHICAGO, March
4, 2016 /PRNewswire/ -- CME Group, the world's leading
and most diverse derivatives marketplace, today announced it will
expand its base metals offering with the introduction of a new
Aluminium European Premium Duty-Paid (Metal Bulletin) futures
contract to begin trading on 21 March,
2016. Pending relevant regulatory review periods, the new
contract will be available for trading on CME
Globex, for submission for
clearing through CME ClearPort, and will
be listed with and subject to the rules and regulations of
COMEX.
"This new contract complements our existing regional
aluminium premium futures contracts, and will enable a broader and
more diverse set of our European customers to hedge their exposure
to the aluminium premium," said Young-Jin
Chang, CME Group Executive Director of Metals Products. "Our
new Aluminium European Premium Duty-Paid contract responds to
commercial customer demands for a solution to manage their premium
price risk and builds on the successful launch of our Aluminium
European Premium Duty-Unpaid European premium futures last
year."
"Volatile aluminium premiums have had a major impact on
the market over recent years, and the previous lack of a good
hedging mechanism has resulted in huge financial uncertainties for
buyers," said Raju Daswani, Metal
Bulletin Managing Director. "With the success of CME Group's
duty-unpaid aluminium premium contract, settled against Metal
Bulletin's industry benchmark, it is imperative that the same
hedging opportunity now be provided to the duty-paid market, which
is a liquid trading arena that is highly relevant to major European
manufacturers."
This new Aluminium European Premium Duty-Paid (Metal
Bulletin) futures contract will complement CME Group's existing
suite of aluminium risk management tools, including its
Aluminum Japan Premium (Platts) futures,
Aluminium European Premium Duty-Unpaid (Metal Bulletin)
futures, Aluminum MW U.S. Transaction
Premium Platts futures and physically delivered
Aluminum futures.
Industry participation in CME Group's suite of regional
aluminium premium futures contracts has steadily increased. Since
its April 2012 launch, the Aluminum
MW US Transaction Premium futures contract has traded the
equivalent of more than 1,368,475 metric tons and reached record
open interest of 27,227 contracts on 1 March
2016. The existing Aluminium European Premium futures
contract has traded 150,050 metric tons and reached a record of
5,127 contracts open interest on 1 March
2016 since it began trading in September 2015. Since launch in December 2015, Aluminum Japan Premium futures
contracts have traded 45,075 metric tons and reached a peak of
1,608 open interest on 1 March
2016.
Aluminium European Premium Duty-Paid (Metal Bulletin)
futures will be 25 metric tons in size and will be financially
settled against the Metal Bulletin assessment of
aluminium spot price transactions in Europe.
For more information on CME Group's metals products,
please visit
www.cmegroup.com/metals.
As the world's leading and most diverse derivatives
marketplace, CME Group (www.cmegroup.com)
is where the world comes to manage risk. CME Group exchanges offer
the widest range of global benchmark products across all major
asset classes, including futures and options based on
interest rates, equity
indexes, foreign
exchange, energy,
agricultural commodities,
metals, weather
and real estate. CME Group brings
buyers and sellers together through its CME
Globex® electronic trading platform, its trading
facilities in New York and
Chicago, and through its
London-based CME
Europe derivatives exchange. CME Group
also operates one of the world's leading central counterparty
clearing providers through CME Clearing
and CME Clearing Europe, which
offer clearing and settlement services across asset classes for
exchange-traded contracts and over-the-counter derivatives
transactions. These
products and services ensure that businesses everywhere can
substantially mitigate counterparty credit risk.
CME Group is a trademark of CME Group Inc. The Globe Logo,
CME, Globex and Chicago Mercantile Exchange are trademarks of
Chicago Mercantile Exchange Inc. CBOT and the
Chicago Board of Trade are
trademarks of the Board of Trade of the City of Chicago, Inc.
NYMEX, New York Mercantile Exchange and ClearPort are registered
trademarks of New York Mercantile Exchange, Inc.
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of Trade are trademarks of The Board of Trade of Kansas City, Missouri, Inc.
All other trademarks are the property of their respective owners.
Further information about CME Group (NASDAQ: CME) and its products
can be found at
www.cmegroup.com.
CME-G
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SOURCE CME Group