NZX
16/06/2014 09:13
GENERAL
REL: 0913 HRS NZX Limited
GENERAL: NZX: NZX celebrates Dairy Futures 100k tonnes milestone
The NZX Dairy Futures Market last week celebrated a significant milestone
reaching 100,000 tonnes traded since the launch of the market in late 2010.
Demand for risk management tools in the dairy sector has grown significantly
through the first half of 2014 and industry participants are looking to NZX's
dairy futures market to meet these needs.
Year to date volume is at 28,203 tonnes, 302.78% ahead of the same period
last year. International participants are capitalising on the early trading
hours, with the market open from 2:00am NZT. In 2014 a third of all volume
has been traded between 2:00am and the previous opening time of 8.00am.
NZX Head of Markets Aaron Jenkins commented: "It's significant not only to
see a boost in trading from Europe and the US, but also increased trading
coming from Asia. This increase in activity is thanks to a lot of hard work
from our broker firms and participants who have been critical supporters in
the growth of this young market."
"We continue to make a number of improvements to the market to help to grow
participation and build confidence. However the biggest driver of volumes is
continuing volatility which dairy industry participants need to manage
effectively," he said.
Nigel Brunel, Director Financial Markets at OM Financial Limited, commented:
"There is no doubt that the NZX dairy futures market is quickly becoming the
market of choice for buyers and sellers in the dairy industry looking to
manage risk. OM Financial has long been a supporter of the market and we are
delighted to see more participants enjoying the benefits these products
offer."
NZX continues to develop and modify the market's product set to create the
building blocks for a liquid market. In the past year, improvements have
included changes to the final settlement price of the contracts, an extension
of trading hours, and authorisation from the US regulatory agency, the
Commodity Futures Trading Commission (CFTC), as a Foreign Board of Trade
under the US Commodity Exchange Act.
For further information please contact:
Kathryn Jaggard
Head of Derivatives
M: 027 234 3778
T: 09 368 1242
E: [email protected]
Kate McLaughlin
Corporate Communications
M: 027 533 4529
T: 09 309 3654
E: [email protected]
End CA:00251608 For:NZX Type:GENERAL Time:2014-06-16 09:13:48
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