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在线翻译:
szdaily -> Markets -> 
Yuan crude oil futures may arrive very soons
    2017-12-19  08:53    Shenzhen Daily

CHINA may launch a yuan-priced crude oil futures contract very soon to make its currency more internationally used, oilprice.com reported yesterday.

The website said the oil futures contract will be launched on the Shanghai International Energy Exchange “just in time for Christmas,” without naming the source of the news.

In July, the Shanghai International Energy Exchange (INE) completed a four-step trial in crude oil futures denominated in yuan and said that it would carry preparatory works for the listing of crude oil futures and would try to launch the contract by the end of this year.

The launch of the yuan oil futures contract will be a wake-up call for traders and investors who haven’t been paying attention to Chinese plans to create the “petroyuan” and shift oil trade out of petrodollars, Adam Levinson, CEO at hedge fund manager Graticule Asset Management Asia, said in October.

Although the petroyuan is not expected to immediately supplant the petrodollar, for China, the world’s top oil importer, launching a crude oil futures contract in yuan is a sign that the Chinese want their yuan to play an increasingly important role in global trade, starting with the oil trade, oilprice.com said.

After years of delays, it looks like China may actually meet its self-imposed deadline to launch the yuan oil futures by the end of this year, the website said.

“An official launch during Christmas would be appropriate. The Western market would be quiet, and it would allow the Shanghai exchange as well as Chinese investors to adjust in the early days,” Bloomberg quoted trader Yuan Quwei as saying.

“The Chinese oil industry wants to have a local hedging tool while financial institution investors look on Shanghai crude futures as an important product in their portfolios,” Wang Xiao, an oil analyst at Guotai Junan Futures Co. in Shanghai, told Bloomberg. “Shanghai oil will be the first Chinese product that allows foreign investors to trade directly and such involvement will surely bring more volumes,” said Wang.

Some analysts said that the success of the yuan oil futures contract greatly depends on the Chinese regulation on the market, which could deter international investors from bringing huge volumes into the contract. Others believe that while it makes sense that China would want to launch yuan oil futures, it would take years for the yuan to really threaten the supremacy of the “entrenched” petrodollar. (SD-Agencies)

 

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