New LME-SGX Metal Futures Receives US Regulatory Go-Ahead
Singapore Exchange (SGX) is pleased to inform that eligible institutions and market participants in the United States (U.S.) can readily trade the LME-SGX metal futures for copper, aluminium and zinc.
This follows confirmation from the U.S. Commodity Futures Trading Commission (CFTC) Division of Market Oversight that it has no objection to the contracts being traded by direct access from within the U.S. The decision will significantly enhance the appeal of the contracts as a hedging or trading tool in the international marketplace.
The LME-SGX copper, aluminium and zinc futures will start trading on 15 February 2011. The futures will have 12 consecutive contract months listed for trading and will be cash settled at expiry based on the LME Official Cash Settlement Price for the relevant metal. The trading hours for the new contracts will cover the Asian trading day (T-session) from 8:00am to 3:20pm Singapore time and the European trading day (T+1 session) from 4:00pm to 2:00am the following day, Singapore time. The contracts are traded and cleared exclusively on SGX.
For details on the contract specifications, please visit www.sgx.com/commodities