Center

Steel and oil futures ready

(chinadaily.com.cn)
Updated: 2007-05-29 15:51

At yesterday's 4thShanghaiDerivatives Market Forum, Liu Hongru, the chairman ofChina Securities Regulatory Commission, indicated that the conditions are ripe for releasing wire rod, rebar and oil futures now, according to the Shanghai Securities.

Liu said, with the acceleration of industrialization and urbanization, the demands for steel products, especially wire rod and rebar in construction are also steadily surging. It is not too difficult to standardize wire rod and rebar, so China can easily control the prices of these two.

According to China's commitment to the World Trade Organization, the country has already opened its oilretailmarket as well as the crude oil and oil products wholesale markets.

Liu believes it is the time to list steel and oil futures on security exchanges, adding China has become the largest consumer of steel and the second largest of oil.