Futures turnover in China hit 6.03 trillion yuan (about 837.5
billion U.S. dollars) in January, marking a three-fold jump from
the same period last year.
It also grew 15.3 percent from December last year, according to
statistics from China's three futures exchanges in Shanghai, Dalian
and Zhengzhou.
The introduction of zinc and palm oil futures last year had
enriched the market. The long awaited gold futures trade, in
particular, had greatly boosted the turnover, which had contributed
261.5 billion yuan, or 9 percent of the January turnover in only 17
trading days after it made its debut on Shanghai Futures Exchange
on Jan. 9.
"The metal futures, which have larger contract value, are
especially active in the past year," said Yu Junli, the research
director of Green Futures.
Also behind the turnover rise are investors who are disappointed
by the turbulent stock market, and who are seeking profitable
alternatives in the country's developing financial markets. The
benchmark Shanghai Composite Index dived more than 18percent to
4320.77 points from the start of January amid the international
stock market turbulence.
"When the stock market goes down, capital will flow into the
futures market and some of it will stay here even when the stock
market recovers," said Yu.
The brisk trade in the rapidly developing market seems to
confirm popular expectations that the boom of futures deals will
continue in 2008.
Compared with the well-developed commodity market, the Chinese
futures market is much weaker, with only a couple of types of
contracts available. Futures trading of pig, steel, crude, silver
and lead are expected to be introduced to substantiate the market,
said Yu.
"We are also expecting the introduction of the stock index
futures this year," he said.
(Xinhua News Agency February 2, 2008)
