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FOi's daily roundup of news in brief, 18 January 2010


Second and third Chinese equity index futures revealed in a leakA Chinese magazine, quoting a leak from regulators, has reported that two more stock index derivatives contracts will be approved in China. They are on the Shanghai Stock Exchange 50 (SSE 50) and Shenzhen Stock Exchange 100 (SZSE 100). On January 8 it emerged that trading in futures on the CSI 300 index could begin on the China Financial Futures Exchange in three months, after they won "in principle" approval from the State Council. These would be the first listed financial derivatives permitted in China since a clampdown in the mid-1990s.According to a report in the magazine Caijing the leak was from the China Securities Regulatory Commission (CSRC). The magazine said CSRC officials were "waiting for approval", presumably from higher authorities.The source said the SSE 50 would be considered by regulators before the SSE 180 to maximise opportunities for hedging, because many of the...

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