CHICAGO, Aug. 20, 2020 /PRNewswire/ -- CME Group, the
world's leading and most diverse derivatives marketplace, today
announced it will launch South American Soybean (Platts) Futures on
September 21, 2020, pending all
relevant regulatory review periods. This contract will offer
market participants a new tool to directly manage exposure to the
Brazilian soybean market.
"As Brazil has emerged as a leading producer and exporter of
soybeans, regional pricing alternatives have become increasingly
important for risk management," said Tim
Andriesen, CME Group Managing Director of Agricultural
Products. "Customers have been using our benchmark grain and
oilseed products to hedge their global soybean positions for over
80 years, and these new contracts will enhance those products with
contracts that reflect Brazilian export prices."
The new South American Soybean (Platts) futures were jointly
developed with B3, one of the world's largest financial market
infrastructure companies. Brazilian Soybean (Platts) futures will
be financially-settled based on the SOYBEX price assessment
published daily since July 2018 by
S&P Global Platts, reflecting the FOB value of Soybeans from
the port of Santos in Brazil. The
contract will simultaneously track the export price and the basis
to U.S. soybeans, offering market participants the ability to trade
the spread between these key commodity regions.
"To B3, the launch of this contract is a collective success and
another major step in our strategic relationship with CME Group,"
points out Louis Gourbin, Head of Commodities at B3. "We are
working to make the B3 contract available to the market as soon as
possible," he adds.
Ian Dudden, Global Pricing
Director, Metals & Agriculture at S&P Global Platts, said,
"We are pleased that CME Group and their customers recognize the
important role our independent Brazil FOB Santos Soybean price
assessment plays in creating price transparency, which in turn
provides opportunities for the provision of risk management tools
that bring greater efficiency to the global agriculture
South American Soybean futures will be quoted in U.S. dollars
and cents per metric ton and have a contract size of 136 metric
tons. The minimum price fluctuation will be $0.20 per metric ton, with the final settlement
price rounded to the nearest $0.01.
The new futures contract will be available for trading on CME
Globex or through block trades via CME ClearPort, and will be
listed by and subject to the rules and regulations of CBOT.
For more information on CME Group's grain and oilseed product
suite, please visit: www.cmegroup.com/soybeans.
For more information about S&P Global Platts agriculture
price assessments, please visit:
SOURCE CME Group