CME Group, the world’s leading and most diverse derivatives marketplace, today announced the launch of the Australian Wheat FOB (Platts) futures contract, to begin trading on July 24, 2017, pending all relevant regulatory review periods.
The Australian Wheat FOB (Platts) futures contract 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 CBOT. The financially-settled contract will reference the Platts daily assessment of the Australian Premium White wheat spot prices. The contract will be U.S. dollar denominated and will be 50 metric tons per contract.
“A significant amount of Australian wheat is sold overseas to markets in the Middle East and Asia, and with this new contract, international traders can now take exposure to export prices of Australian wheat without having to take physical delivery,” said Nelson Low, Executive Director, Agricultural Products, CME Group. “The addition of this new Australian wheat futures contract to our already robust suite of global wheat benchmarks increases our capacity to provide a convenient one stop venue for all wheat risk management needs, and the platform for market participants to create spreading opportunities with other CBOT wheat contracts.”
“Since starting its coverage of the Asia-Pacific wheat markets a little over 18 months ago, S&P Global Platts has established itself as a trusted independent source for detailed, concise and timely price information,” said Ian Dudden, Global Content Director, Agriculture at S&P Global Platts. “We believe the marketplace benefits from price formation and risk management tools that reflect regional fundamentals and welcome this recognition by CME Group of the role our price assessments can play in bringing greater transparency and efficiency to global grains markets.”
This new Australian Wheat FOB (Platts) futures contract complements CME Group’s existing suite of global wheat benchmarks, including Euro-denominated EU Wheat, Soft Red Winter Wheat, Hard Red Winter Wheat and Black Sea Wheat futures and options contract. For more information on CME Group’s suite of wheat products, please visit: https://www.cmegroup.com/trading/agricultural/wheat-futures.html
As the world’s leading and most diverse derivatives marketplace, CME Group (www.cmegroup.com) is where the world comes to manage risk. Through its exchanges, CME Group offers 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. CME Group provides electronic trading globally on its CME Globex platform. The company also offers clearing and settlement services across asset classes for exchange-traded and over-the-counter derivatives through its clearinghouses CME Clearing and CME Clearing Europe. CME Group’s products and services ensure that businesses around the world can effectively manage risk and achieve growth.
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