Traders and hedgers have been advocating the use of cleared cash settled swaps.
This provides a means of managing price risk and exploiting new market opportunities.
The emergence of a liquid swaps market has brought opportunities for a wider community of steel counterparts. Steel futures provide price risk management, giving miners, traders and steel end-users certainty on margins.
"Steel Futures can even help end users win future projects, by being able to offer fixed prices for steel using the forward curve."
Bunkers futures can even help end users win future projects by being able to offer fixed prices for steel using the forward curve.
The contracts from FIS increase the range of steel derivatives available and will add to the depth and liquidity of the steel futures market, by offering a counterpart to existing physically-delivered futures contracts.