MARKET DEVELOPMENT
CPO Futures Contracts At New High
CPO Futures Contracts At New High
KUALA LUMPUR, Sept 13 (Bernama) -- Bursa Malaysia Derivatives' (BMD) crude palm oil futures contracts (FCPO) stood at a record 4,072,384 contracts as of midday close today, surpassing 4,064,361 contracts traded in 2010.
"This is the highest ever number of contracts traded annually since FCPO contracts started trading in 1980," Bursa Malaysia said in a statement today.
Its chief executive officer/chairman, Datuk Tajudin Atan, said the record-breaking achievement would strengthen the position of the FCPO contracts as the global pricing benchmark for palm oil and palm oil-based products.
"The uncertainty in global financial markets has resulted in a shift of funds from equities to other asset classes and this trend is expected to continue over the next few months," he said.
Bursa Malaysia said open interest for FCPO contracts on BMD has risen steadily on the back of an even mix of players in the futures market.
The last time open interest hit a record was on July 15, 2011, with 136,602 contracts, it said.
"This is the highest ever number of contracts traded annually since FCPO contracts started trading in 1980," Bursa Malaysia said in a statement today.
Its chief executive officer/chairman, Datuk Tajudin Atan, said the record-breaking achievement would strengthen the position of the FCPO contracts as the global pricing benchmark for palm oil and palm oil-based products.
"The uncertainty in global financial markets has resulted in a shift of funds from equities to other asset classes and this trend is expected to continue over the next few months," he said.
Bursa Malaysia said open interest for FCPO contracts on BMD has risen steadily on the back of an even mix of players in the futures market.
The last time open interest hit a record was on July 15, 2011, with 136,602 contracts, it said.