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The hottest PVC futures contract is based on the i

2022-10-14

Detail

PVC futures contracts are based on the industry. The introduction of the draft for comments made people see part of the face of the PVC futures contracts of Dachang exchange. Market participants said that as the second plastic variety, PVC futures contracts are based on the "service industry" in the design of key terms for low iron and aluminum production, such as delivery standards, price limits and other staff fine operations, while also taking into account the arbitrage needs of individual investors

based on enterprise hedging

according to the person in charge of the variety Department of the big commercial institute, the design of PVC contracts follows the principle of safety, stability and proximity to the spot market. In the design of contracts and rules, we should try to make futures contracts and rules include a broader spot market capacity and expand the available delivery volume. Therefore, among the ten models of PVC from sg0 to sg9, Dashang chose SG5, whose consumption accounts for more than 70% of the total consumption. After long-term development, it has sufficient resources for delivery. At the same time, it can also give full play to the advantages of SG5 in terms of large market share and strong price leadership, have an impact on other models of PVC market, and realize effective replacement and hedging

Luhua, an analyst at zhuochuang information, a chemical information agency, said that the production, consumption and inventory of PVC are generally stable. From the perspective of consumption, it shows seasonal characteristics to a certain extent, but it is not as obvious as agricultural products. August, September and October of each year are the peak consumption seasons of PVC, and the monthly consumption is stable. Before the Spring Festival, it turns to the low consumption season; From the production point of view, it shows the characteristics that uniform production aging will reduce the performance of high molecular materials. Except for the slight decline in the output in January due to the Spring Festival holiday, the output in other months is stable; From the perspective of inventory, the inventory level of PVC is significantly related to price and has little to do with time. At present, the chemical products LLDPE and PTA contracts listed in the domestic futures market have been set for months, with a contract of up to one year. Based on these conditions, the exchange sets the trading months of PVC futures contracts as January, February, March, April, may, June, July, August, September, November and December, which can meet the hedging needs of spot enterprises

taking into account the demand for arbitrage

"the trading unit of PVC contract is set to 5 tons/hand, taking into account the spot trade habits on the one hand, and the level of margin collection on the other hand." According to the person from the above-mentioned big business institute, from the perspective of the spot market, first, the downstream consumption enterprises of PVC are small, and the average annual consumption of enterprises is less than 10000 tons; Second, the inventory level of PVC is usually not high, and most enterprises prepare inventory according to the amount of one month; Third, the transportation mode of consumer distribution centers is mainly automobile transportation, and the scale is small; In addition, in spot trade, PVC packaging specifications are mostly small packages of 25 kg, and most of the vehicles are 5 tons, totaling 200 bags. From the perspective of margin collection level, at present, the margin level charged by the relevant varieties of the three exchanges for each contract is mostly between yuan, and the trading unit of PVC is set at 5 tons/hand. Calculated according to the lowest and highest price of PVC, the margin charged for each contract should be in the range of yuan, which is compared with the margin level charged by the relevant varieties of futures market for each contract at present, At a moderate level

for the minimum change price, the person in charge said that LLDPE and PVC belong to the five general synthetic resins and have similar industrial characteristics, so the minimum change price of PVC is the same as LLDPE, which is 5 yuan/ton. Moreover, PVC and LLDPE have obvious price correlation, and the same minimum change price setting will be conducive to arbitrage traders' cross variety arbitrage

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