Shanghai Futures Exchange Launches Option Trading in Steel Rebar and Silver

The SHFE (Shanghai Futures Exchange) launched trading in steel rebar options and silver options on Monday (26 December).

Rebar futures were listed as early as 2009, and silver futures in 2012. The two varieties are now considered important risk management tools for China's steel industry and non-ferrous metals industry, respectively.

The CSRC (China Securities Regulatory Commission) approved the new options contracts earlier this month. SHFE released the contract specifications last week.

On the launch day, four series of steel rebar options were listed with 224 contracts, as were three series of silver options with 136 contracts.

By the market close on the first day of trading, steel rebar options had traded 26,872 lots, with a total turnover of CNY 21.8 million. Silver options traded 3,796 lots, with turnover of about CNY 5.7 million.

With the two new options products, SHFE now offers 20 futures varieties and 8 options varieties.