Moscow Exchange to expand commodity derivatives offering
Moscow Exchange will facilitate investments in popular financial commodity instruments, and open up new opportunities for precious metals producers and consumers to trade on the Derivatives Market.
- Light Sweet Crude Oil futures and option contracts will be launched in April 2018.
- Deliverable Gold futures contracts will be introduced inSeptember 2018.
The Light Sweet Crude Oil futures and option contracts have been designed to meet the needs of a wide range of private and institutional investors whose trading strategies include commodities markets.
The Light Sweet Crude Oil futures and associated option contracts mirror the Light Sweet Crude Oil Futures (CL) and Light Sweet Crude Oil Options (LO) traded on NYMEX, part of CME Group. The settlement price of the MOEX futures contract is the price of the Light Sweet Crude Oil Futures as determined by NYMEX and published on the CME Group’s website on the day immediately preceding the settlement day of the relevant Light Sweet Crude Oil futures.
In September 2018, Moscow Exchange will offer deliverable Gold futures. The contract will be settled monthly and quoted in RUB per gram. The contract lot is 10 grams. Delivery is made to MOEX’s spot Precious Metals Market.
Igor Marich, Managing Director of the Money and Derivatives Markets at Moscow Exchange, said:
"Demand for commodity market instruments continues to increase. The Brent Oil contract is the third most popular instrument on the Derivatives Market. We are confident that the new instruments will create new opportunities for investors to implement their trading ideas on the market. Moreover, the new gold instrument will help banks dealing with precious metals, extractives companies and nonferrous metal plants better manage price risk and build the Russian gold benchmark."