CHICAGO, June 26, 2016 /PRNewswire/ -- CME Group, the
world's leading and most diverse derivatives marketplace, today
announced the launch of four new palm contracts to its suite of
agricultural products, to begin trading on July 11, 2016, pending all relevant regulatory
review periods.
These four new contracts will broaden CME Group's offerings
within the palm derivatives complex, and include the USD Malaysian
Crude Palm Oil Calendar futures (CPO), the USD Malaysian Palm
Olein Calendar futures (OPF), the USD Malaysian Crude Palm Oil
Average Price option (POO), and the Bursa Malaysia Crude Palm
Oil-Gasoil Spread futures (POG). These contracts 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 CME.
The new Malaysian Crude Palm Oil Calendar futures contract
will reference Bursa Malaysia Derivatives' Crude Palm Oil futures
contract prices, and the new Malaysian Palm Olein
Calendar futures contract will be based on prices from
the Thomson Reuters daily palm reference price for the palm oil
complex.
The new average price option contract will
be cash-settled to the average daily settlement price of CPO
futures, while the Bursa Malaysia Crude Palm Oil-Gasoil Spread
futures contract will reflect the settlements of the CPO
futures and the ICE Gasoil Calendar futures.
"Our customers have shown increased awareness of, and
interest in using cleared futures on top of their traditional OTC
positions in managing their risks, and these four new contracts
will provide them the flexibility and efficiency to manage exposure
to price volatility in the global palm oil market," said
Nelson Low, Executive Director,
Agricultural Products, CME Group. "Together with our partners
Bursa Malaysia Derivatives and Thomson Reuters, we remain
committed to building a complete suite of palm products
and helping market participants with their hedging and trading
needs."
"The use of BMD's Crude Palm Oil futures contract (FCPO) in CME
Group's new palm products recognises and reinforces FCPO's position
as the global price benchmark," said K Sree Kumar, the Acting Chief
Executive Officer of Bursa Malaysia Derivatives Berhad.
"These new palm products together with FCPO will provide the
necessary risk management tools for the commodity industry,
internationally."
Since CME Group launched its suite of Crude Palm Oil Swaps and
Palm Olein Swaps in 2013, more than 170,000 contracts (representing
more than 4.25 million metric tons) have been cleared, with record
month-end closing open interest of 17,120 in May 2016 across both products.
For more information about CME Group's new palm risk management
products, visit
cmegroup.com/education/palm-oil-calendar-futures-and-options.html.
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 products and metals.
Around the world, CME Group brings buyers and sellers together
through its CME Globex® electronic trading platform and its
exchanges based in Chicago,
New York and London. 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 and over-the-counter derivatives. CME
Group's products and services ensure that businesses around the
world can effectively manage risk and achieve growth.
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. COMEX is a trademark of Commodity Exchange,
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