China Coal Market Analysis And Design Of Thermal Coal Futures Contract

The stability of China's coal market stable and healthy development of the national economy a major role.Against that background, to study how energy prices through the domestic and foreign markets to avoid the risk of developing the Chinese thermal coal futures in order to form a reasonable pricing mechanism for coal prices and trading mechanisms.This paper argues that the introduction of the early selection of coal thermal coal futures market trading products as the necessity and feasibility. Thermal coal spot trading price fluctuations often have a wide range of hedging demand; the large number of buyers and sellers, the market can not easily be manipulated and monopolized. Coal market through a comprehensive, system analysis, according to "the need for coal futures - product selection and standardization - contract design - risk control and management" of such a process of logical to start progressive layers, proposedChina's thermal coal futures contract product development and design.The design of the contract details on some made more than adequate consideration, and strive to design a more reasonable contract and more convenient transactions.Changes in the design of the minimum full account of hedging in terms of efficiency, futures frequent touch panels, the full market liquidity, offer spot trading habits and other factors. Delivery month contracts designed to follow the energy, commodity futures characteristics, have contracts each month throughout the year. Delivery to the choice of combination of spot trade flows, transport, storage features and a large number of special cases, delivery needs, according to the main producing area, the main distribution center and the main consumption areas to determine the specific location. Premiums and discounts to determine the future delivery is to select the largest consumption of coal quality and grade of concrete, and other grades of coal for testing indicators under the key result of the price difference between the premiums and discounts; premiums and discounts for the same coal in different locations, according to Shipping costs to be quantified. Ways to take physical delivery and rolling stock futures turn delivery of two ways.