The Dubai Mercantile Exchange Limited (DME) announced today that it set two new trading records during the month of July 2011. The exchange not only achieved the highest average daily volumes, but also saw record physical delivery for its benchmark Oman Crude Oil Futures Contract (DME Oman) since the commencement of trading on the Exchange in June 2007.
Average daily volumes (ADV) for DME Oman Crude Oil Futures Contract (DME Oman) in July stood at 4,427 contracts (equivalent to 4.4 million barrels of oil per day), with a record total of 88,539 contracts traded for the month. This represents a 35% year-on-year increase in trading levels on the exchange.
The month also saw DME Oman achieve a new record for physical delivery, with 15.4 million barrels of oil to be delivered in September 2011 through the Exchange, surpassing the previous high of 15.1 million barrels set for delivery in September 2010. This confirms the status of DME Oman as the largest physically delivered crude oil contract in the world, underscoring to market participants the benefit of robust price discovery through direct linkage to true market supply and demand fundamentals.
Commenting on the latest trading figures, Thomas Leaver, Chief Executive of the DME, said: “July was a truly outstanding month for the DME. These new records clearly demonstrate the steady progress that we continue to make in consolidating our Oman contract as the accepted price benchmark for crude oil in the Middle East and Asia.
“With more than 50 companies trading regularly on the Exchange, the market is clearly confident that price determined by these market participants in a regulated environment validates the DME Oman Contract as the most efficient price discovery and risk management tool for the fast-growing East of Suez crude oil markets. We will continue to focus our efforts on building liquidity and maintaining momentum.”
The DME was launched in June 2007 with the goal of bringing fair and transparent price discovery and efficient risk management to East of Suez, the world’s fastest growing commodities market and the largest crude oil supply/demand corridor in the world. Today, DME Oman is the explicit and sole benchmark for Oman and Dubai crude oil Official Selling Prices (OSP), the historically established markers for Middle East crude oil exports to Asia Pacific.
- Do you want to sell or rent your Dubai property? List it with us FREE of charge NOW!