CME Group, the largest U.S. market for financial derivatives created by combining the leading stock exchanges of Chicago and new York, has announced the launch of futures on the black sea sunflower oil with financial calculations by Platts, based on sunflower oil FOB Black Sea Ukraine with the start of trade on 26 August 2019. It is reported by Interfax-Ukraine.

The company said that the contract is introduced after extensive consultation with industry and in response to customer demand for risk management tools to manage price volatility in the world market of sunflower oil. Earlier it was successfully launched financial contracts CME Group for the black sea black sea wheat and corn, which since the launch, there were more than 300 thousand contracts with a total open shares 40 thousand contracts.

"Futures on edible oil CME Group become an integral part of the industry oilseeds, contributing to the identification of prices and transfer of risk for sellers, producers, processors, traders, and industrial consumers worldwide. The addition of the black sea sunflower oil to our futures contracts for soybean oil Malaysian crude palm oil makes CME a global destination of choice for customer needs for hedging and risk management in the markets of edible oil," said managing Director of Agricultural products CME Group Tim Andriesen.

In CME Group noted that futures on the black sea sunflower oil will be calculated on the basis of valuation of sunflower oil FOB Black Sea Ukraine, published S&P Global Platts for every business day. The futures will be quoted in dollars per ton and have a contract size 25 metric tons. The first will be a contract in November 2019, and another 11 months are available for trading until October 2020.

The new futures contract is available for trading on CME Globex and CME ClearPort compliance with the rules and regulations of CBOT.

photo: