China oil futures affect Singapore market

The launch of fuel oil futures trading in China is starting to shake up traditional trading patterns in Asia, despite some teething problems with the contracts, according to one of China’s main fuel oil importers.

The Shanghai Futures Exchange’s fuel oil futures contracts, although suffering from thin liquidity and in need of some adjustments to attract more investors, have been influencing, and in some cases leading price movements in Asia’s main oil trading center, Singapore, said Chen Xilin, chairman of Guangzhou Twinace Petroleum & Chemicals Co.
China Economic Net