Cleartrade Exchange (CLTX), the Singapore regulated futures exchange for commodity derivatives has admitted and launched Market Making for all Fuel Oil contracts within the central order book (CLOB) of the Exchange.
The market maker provides firm bids and offers for Singapore 180 CST, 380 CST and Rotterdam 3.5% Barges providing guaranteed liquidity on maturities 18 months forward.
Richard Baker, CEO, CLTX said “CLTX has invested significantly in its liquidity strategy and building on the recent launch of CLTX TRADERTM, now enables members to uniquely access the new Fuel Oil liquidity between 2pm Singapore through to 1am Singapore /6pm London time provided by the exchange’s market maker programme. I am delighted to say that as part of this launch we are able to offer market coverage incorporating a larger portion of the Asia trading day and providing unrivalled liquidity in these globally important products.”
Richard Heath, Head of Product, CLTX said ”In addition to the exceptional trading and price discovery opportunities our Fuel Oil market delivers, all orders are available to trade in small lot sizes. CLTX’s Fuel Oil market is designed directly for the global shipping markets; smaller lot sizes mean more flexible hedging options which allow owners/operators and charters to build and manage derivative positions which closely match their actual exposure, therefore providing more efficient risk management solutions.” Mr. Heath continued “In short the ability to transact the right volume at the right time coupled with constant visibility of where positions could be closed is something that many members have told us is highly valuable.”
CLTX offers Fuel Oil contacts on the Singapore 180 CST FOB, Singapore 380 CST FOB and the 3.5% FOB Barges Rotterdam. CLTX’s 1 Metric Tonne Fuel Oil contracts are cash settled against Platts daily settlement prices and cleared through NASDAQ OMX. CLTX’s 100 Metric Tonnes contracts are cash settled against Platts daily settlement prices cleared through Singapore Exchange (SGX). CLTX TRADERTM incorporates advanced trading strategies such as Icebergs, stop loss trading, basket trades and advance spread trading. Members of the Exchange can access the platform free of charge.
