CME Group is launching a dollar-denominated crude-palm-oil futures contract on May 24. The cash-settled contract will be traded on CME Globex. The final cash settlement prices will be based on the Bursa Malaysia Derivatives Crude Palm Oil futures contract.
The launch of the edible oil contract will also provide opportunities for cross-trading with soybean oil. The contract will require lower capital requirements due to cross product margin efficiencies with other CME contracts.
