CHICAGO, March 27, 2019 /PRNewswire/ -- CME
Group, the world's leading and most diverse derivatives
marketplace, today announced it will expand its metals offering
with the introduction of a new U.S. Midwest Hot-Rolled Coil Steel
(Platts) Futures contract to begin trading on April 15, 2019.
"Increased volatility of steel markets and uncertainty around
regional prices has led to a growing demand for risk management
tools across the steel supply chain," said Young-Jin Chang, Global Head of Metals Products,
CME Group. "This new contract will complement our existing steel
and ferrous metals product suite, and provide customers with
another tool to manage regional price risk."
"The introduction of this new ferrous contract by CME Group is
timely given the ongoing uncertainties around steel prices. We
believe this contract has the potential to grow as participants
become more familiar with managing price risk in their business and
get informed about daily price changes," Phillip Price, CEO of
Ferrometrics LLC.
The U.S. Midwest Hot-Rolled Coil Steel (Platts) Futures
contract will be 20 short tons in size and will be financially
settled against the Platts TSI HRC U.S. EXW Indiana price
assessment.
Ian Dudden, Global Content
Director, Metals and Agriculture at S&P Global Platts said: "We
are pleased that CME Group and their customers recognize the
crucial role our independent steel price assessment plays in
creating price transparency, which in turn provides opportunities
for the provision of risk management tools that bring greater
efficiency to the global metals markets."
Ferrous metals futures and options trading volumes have
increased more than 80 percent since the start of the year to
nearly 1,500 contracts traded on average per day. Open interest
reached nearly 37,000 contracts at the end of February.
Pending relevant regulatory review periods, the new contract
will be available for trading on CME Globex and for
submission for clearing through CME ClearPort, and will
be listed with and subject to the rules and regulations of
COMEX.
For more information on CME Group's ferrous metals futures and
options, please visit www.cmegroup.com/ferrous.
As the world's leading and most diverse derivatives marketplace,
CME Group (www.cmegroup.com) enables clients to trade futures,
options, cash and OTC markets, optimize portfolios, and analyze
data – empowering market participants worldwide to efficiently
manage risk and capture opportunities. CME Group exchanges offer
the widest range of global benchmark products across all major
asset classes based on interest rates, equity
indexes, foreign exchange, energy, agricultural
products and metals. The company offers futures and
options on futures trading through the CME Globex® platform, fixed
income trading via BrokerTec and foreign exchange trading on the
EBS platform. In addition, it operates one of the world's
leading central counterparty clearing providers, CME
Clearing. With a range of pre- and post-trade products and
services underpinning the entire lifecycle of a trade, CME Group
also offers optimization and reconciliation services through
TriOptima, and trade processing services through Traiana.
CME Group, the Globe logo, CME, Chicago Mercantile Exchange,
Globex, and, E-mini are trademarks of Chicago Mercantile Exchange
Inc. CBOT and Chicago Board
of Trade are trademarks of Board of Trade of the City of Chicago, Inc. NYMEX, New York
Mercantile Exchange and ClearPort are trademarks of New York
Mercantile Exchange, Inc. COMEX is a trademark of Commodity
Exchange, Inc. BrokerTec, EBS, TriOptima, and Traiana are
trademarks of BrokerTec Europe LTD, EBS Group LTD, TriOptima AB,
and Traiana, Inc., respectively. Dow Jones, Dow Jones
Industrial Average, S&P 500 and S&P are service and/or
trademarks of Dow Jones Trademark Holdings LLC, Standard &
Poor's Financial Services LLC and S&P/Dow Jones Indices LLC, as
the case may be, and have been licensed for use by Chicago
Mercantile Exchange Inc. All other trademarks are the
property of their respective owners.
CME-G
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SOURCE CME Group