BRAZIL: BM&FBOVESPA to start trading Crude Oil derivatives contract on June 21

Thursday March 21 2013

June 21, based on the settlement price of CME Group’s NYMEX Light Sweet Crude Oil (WTI) futures contract.

The new contract will be authorized for trading as of the August 2013 contract month, from 9:00 a.m. to 4:00 p.m. under the WTI ticker. The size of each futures contract is equivalent to 10% of the original contract, representing 100 barrels of crude oil and quoted in United States Dollars. The settlement prices of the cash-settled mini Crude Oil futures contract will be calculated from the settlement prices that have their methodology available here.

The launch is part of an agreement with CME Group to promote the cross-listing of futures contracts designed to meet the needs of local market participants. The new contract will allow local lifters, refiners, fuel distributors, importers, exporters, suppliers of oil-based products and other participants to execute hedging strategies that mitigate against price risk in the energy markets.

Click on the above link for more details.