China opens domestic crude futures market

Most of China's imported crude (about 600,000 barrels a day) is DME Oman grade, which traded at a discount of about $2.50 a barrel to Brent.

The contracts may not only help wrest some control over pricing from the main worldwide benchmarks, but yuan-denominated contracts could also promote the use of its currency in global trade-a key long-term goal for Asia's biggest economy.

The launching took place at the Shanghai International Energy Exchange with the contract SC 1809 at the initial Price of 440 yuans per barrel (69.54 US dollars). The contracts, which are open to foreign investors, end years of delays and setbacks since China's first attempt to list the securities in 1993.

"Prices assessed at the Shanghai exchange will reflect China's crude supply and demand", said Sushant Gupta, research director at energy consultancy Wood Mackenzie.

The Shanghai International Energy Exchange launched trading of yuan-denominated crude oil futures contracts on Monday.

China's desire to open a domestic market to trade futures has grown as the country's crude imports have boomed.

This takes the INE closer to providing the range of crude oil trading activities offered in London, New York, Singapore and elsewhere, but with the added advantage of being on the doorstep of the world's largest import market.

The most-active September contract opened at 440.4 yuan ($69.78) per barrel versus a reference point of 416 yuan, jumping as high as 447.1 yuan ($70.85) in the first few minutes. "I still think there is a general reluctance from global investors to trade Chinese-based contracts".

Canada Senate Votes to Legalize Marijuana for Those 18+
Nurse practitioners, dentists, podiatrists and nurse midwives can recommend its use, as well as doctors. A dispensary was approved in 2014 but did not receive a state license and never opened for business.

OnePlus 6: Price, specifications, release date and everything you need to know
Well, this aspect ratio of 19:9 adds fuel to the rumors regarding the presence of a notch on this 2018 OnePlus flagship. A previous report had claimed the presence of an under display fingerprint sensor, but that seems highly unlikely now.

Dreamers feel 'sold out' as Trump signs spending bill
Just days earlier at the White House, the president assured House Speaker Paul Ryan he would sign the bill . On Thursday, Trump's budget director Mick Mulvaney said that Trump would sign the bill.

Futures contracts are used to fix prices today for later delivery, usually within 60 days.

The exchange said that foreign companies, including Glencore PLC and Trafigura Group, participated in the debut via brokers.

The country also hopes that yuan-denominated futures contracts will help its currency play a bigger role in the global economy.

Crude oil futures slipped on Monday, but losses were capped by a rebound in stock markets and escalating Saudi-Iran tensions.

The early involvement of big global traders was a morale boost to the fledging market, but state oil majors like PetroChina and Sinopec are expected to provide a significant amount of liquidity in the long-term.

At 9:56 a.m. (0256 GMT), Shanghai prices were up 4.4 percent at 434 yuan, with 24,132 lots traded.

Since the 1970s, the oil trade has nearly entirely been conducted in U.S. dollars. This is especially important amid the ongoing tariff war between the USA and China.

Related news:

Hot News

isis-killer-beheading-video-story-top Prince Harry and Meghan Markle will 'put their stamp' on wedding day
Mar 27, 2018 - 02:17
Ms Dooley insisted she was close to Meghan's father and grandfather but admitted they were "somewhat on the fringes". The 36-year-old actress is not only turning to her future sister-in-law for advice but also takes her as a friend.

isis-killer-beheading-video-story-top Motion reveals Pulse gunman's father was FBI informant
Mar 27, 2018 - 02:12
He used to host a political talk show on Afghan-Pakistan issues, where he railed against Pakistan, Reuters reports . Defense attorneys argued the late revelation is unconstitutional, citing the 1963 Supreme Court case Brady v.

isis-killer-beheading-video-story-top Mourinho Wants To Sell Pogba To Fund Two Real Stars
Mar 27, 2018 - 01:49
In recent games, the Portuguese boss has favoured youngster Scott McTominay and Marouane Fellaini in central midfield. Pogba has made 27 appearances for Man United this season, scoring three goals and registering 10 assists.

isis-killer-beheading-video-story-top Uber exits Southeast Asia, sells operations to rival Grab
Mar 27, 2018 - 01:32
For Softbank , the deal will help it "double down" on its plans for growth and invest in products and technology. Chief Executive of Grab , Anthony Tan said,"Today's acquisition marks the beginning of a new era".

isis-killer-beheading-video-story-top Facebook loses its users trust
Mar 27, 2018 - 01:29
The process is also common across many social media and other apps, usually occurring shortly after first joining a service. If you look at the terms and conditions of use, users of Facebook have given up a lot of their rights, privacy included.

isis-killer-beheading-video-story-top Google Unveils US $329 Chrome OS Tablet Ahead of Apple's Education Event
Mar 27, 2018 - 00:55
IT administrators can manage the new Acer Chromebook Tab 10 as easily as any of the other Chrome OS-based devices on their campus. It also ships with a Wacom EMR stylus which will enable students to control apps more precisely as well as sketch on the tablet.

Bubba Watson wins Match Play for 2nd World Golf Championship
Mar 26, 2018 - 03:45
It's hard to remember a time - recently, at least, when we've had this much pure talent all on top of their game at the same time. Kisner chases the biggest title of his career, having won PGA crowns at Colonial previous year and Sea Island in 2015.

isis-killer-beheading-video-story-top PlayerUnknown's Battlegrounds is getting an Event Mode to test unusual game settings
Mar 26, 2018 - 03:18
For a while it seemed that Bluehole's PUBG would simply steamroll anything put in its way thanks to its huge initial success. Specifically in the video, creator Brendan Greene (aka " PlayerUnknown ") and PUBG Corps CEO and Executive Producer C.H.

isis-killer-beheading-video-story-top Steven Spielberg praises Marvel's Black Panther and its cultural significance
Mar 26, 2018 - 02:43
Wes Anderson's "Isle of Dogs" scored one of the year's best specialty releases with $1.6 million in 27 theaters. Chadwick Boseman stars as Black Panther's title character, amid a cast that also includes Michael B.

isis-killer-beheading-video-story-top Macron - Attack act of 'Islamist terror', IS claim being checked
Mar 26, 2018 - 02:30
Merit-based pay and eliminating redundancies were also part of Macron's plan, fueling further outrage from public sector workers.

isis-killer-beheading-video-story-top Zeke Upshaw Rushed to Hospital Following Collapse
Mar 26, 2018 - 02:18
BC-BKO-Player Collapses, 1st Ld-Writethru, 162NBA G League player under doctors' care after collapseEds: APNewsNow. The Drive said in a news release Sunday that further updates on Upshaw's condition will be provided when available.

isis-killer-beheading-video-story-top Senate passes bill to avert third United States govt shutdown this year
Mar 25, 2018 - 06:42
But the overall result has been unimaginable to many Republicans after campaigning on spending restraints and balanced budgets. Both parties touted $4.6 billion in total funding to fight the nation's opioid addiction epidemic , a $3 billion increase.

isis-killer-beheading-video-story-top Trump threatens to veto spending Bill just passed
Mar 25, 2018 - 06:09
But the overall result has been unimaginable to many Republicans after campaigning on spending restraints and balanced budgets. They were protected from deportation under the Deferred Action for Childhood Arrivals (DACA) program that began in 2012.

isis-killer-beheading-video-story-top Amid spar over harassment of diplomats, Pak envoy returns
Mar 25, 2018 - 05:17
India needs to take the issue in a diplomatic way, instead of just trying to complain again and again. But India rejected the assertion and maintained that nothing enough is being done for the officials.

isis-killer-beheading-video-story-top Tesla (TSLA) Rating Lowered to Sell at BidaskClub
Mar 25, 2018 - 04:53
Df Dent And holds 0.01% or 676 shares. 245.40 million shares or 1.70% more from 241.30 million shares in 2017Q2 were reported. ValuEngine upgraded shares of Tesla from a sell rating to a hold rating in a research note on Thursday, February 8th.