DME launches new trading tool for Oman futures
Dubai, July 1, 2014
DME, a leading international energy futures and commodities exchange, has launched a new trading mechanism ‘Trade at Marker’ (TAM), for customers of the DME Oman crude oil futures contract.
TAM will allow DME customers to buy and sell oil at a price directly linked to DME’s 12:30pm Marker Price, said a statement.
The average of the month’s Marker Prices on DME is the basis of the crude oil export price of Oman and Dubai, making the DME Marker Price one of the world’s key energy benchmarks, it said.
The ability to trade the Marker Price directly will be very useful to investors who want exposure to Oman and Dubai’s crude oil export price but who may not necessarily want to trade during DME’s settlement window.
The TAM trading mechanism can be traded on a daily basis for the front three months of the DME Oman crude oil contract.
DME has seen its trading volumes surge in recent months, with volumes between January and May 57 per cent higher than in the same period of the previous year.
Christopher Fix, chief executive officer of DME, said: “We are always committed to provide our customers with different tools to manage their risk more easily. At a time when price volatility has returned to the market, a trading mechanism like Trade at Marker that provides greater certainty in execution will be very attractive to some traders.” - TradeArabia News Service