The Volume Of Positions In Shanghai Crude Oil Futures Increased Steadily

The 36th Asia Pacific Oil Summit was held online on September 14. According to the Shanghai Futures Exchange (SFE), the overall volume and position of Shanghai crude oil futures have increased steadily since its listing two years ago.

In the first half of this year, the average daily turnover of Crude oil futures in Shanghai was about 180,000 lots, and the average daily open interest was about 120,000 lots, up 3% and 286% year on year respectively. In addition, about 27m barrels were delivered in the first half of the year, up 150 per cent year on year. In terms of the size of the global crude oil futures market, if the unit of futures trading volume is converted into barrels, the volume of Shanghai crude oil futures is second to Brent and WTI, becoming the third largest crude oil futures market.

In terms of internationalization, as of August 30, Shanghai crude oil futures has attracted customers from more than 20 countries and regions in Asia, Africa, Europe, North America and Oceania. In the first half of the year, average daily turnover and open interest of foreign participants increased by 1.9% and 6.5% respectively.

Recently, both The Shanghai Futures Exchange and the Shanghai International Energy Exchange have been included in the European Securities and Markets Authority (ESMA) 's positive list of post-trading transparency assessments on third country trading venues, which has reduced the compliance and operating costs for EU investors participating in China's crude oil futures market.

In order to meet the demand of market delivery, the storage expansion measures adopted in the last period expanded from the original layout of coastal storage to inland oil storage. In the next step, the institute will make overall planning and orderly push forward the listing of natural gas and refined oil products, accelerate the listing of crude oil futures options and crude oil futures ETF, and possibly launch settlement price trading mechanism (TAS) in the short term, so as to continuously improve the energy product series and enrich the risk management tools.

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