CORPORATE NEWS:
Trading of plastics futures on LME
Trading of plastics futures contracts – for polypropylene and linear low-density polyethylene – has started at the London Metal Exchange (LME).
Futures contracts will enable the plastics industry to hedge against volatile polymer prices for the first time.
The industry will additionally benefit from a globally recognised price which can be used as the basis of physical supply contracts.
LME Chief Executive Simon Heale says: “The plastics industry has suffered from extreme price volatility for many years with, to date, no price risk management tools. These new contracts will enable the industry to manage price risk effectively, to better forecast profits and so concentrate on its drive for innovation. I believe that, with the LME’s experience and reputation, we are ideally positioned to ensure that these contracts are a success.”
Company: |
London Metal Exchange |
Country: |
UK |
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+44 20 7680 0505 |
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Website: |
www.lme.co.uk |