China Securities Regulatory Commission (CSRC), China's top securities regulator, has announced its formal approval for iron ore futures trading at Dalian Commodity Exchange (DCE). The exact time for the official listing of the futures contracts will be decided based on the preparatory work carried out by the DCE and also on the market situation, as stated by the CSRC.
Trading is expected to be for iron ore containing 62 percent Fe, in units of 100 mt. A CRSC official said the trading of iron ore futures will help establish a pricing system which will better reflect supply and demand in China and will also help Chinese enterprises to better manage risks of fluctuations in prices.