China competes for international oil price Pricing right

June 2, Shang Fulin, chairman of China Securities Regulatory Commission and Shanghai Deputy Mayor Tu Guangshao vice-chairman in the Shanghai Derivatives Market Forum public speech, sparking the industry's "Oil futures domestic listing" reverie.　　Shang said that the SFC will continue to support the needs of the national economy, market conditions with futures products listed, do fine, do thin already listed futures products. Tu Guangshao Vice-Chairman further said that in accordance with the spirit of the State Council on promoting the development of modern service industry and the construction of advanced manufacturing industry, International Financial Center and International Shipping Center, as an important part of the construction of Shanghai International Financial Center, in the futures market and financial derivative products development, according to the specific arrangements of the national Financial Management Department,　　In Shanghai Futures Exchange ordered the introduction of crude oil, gasoline, diesel, asphalt and other energy-chemical futures varieties listed. Oil futures to participate in international pricing many insiders believe that the establishment of oil futures for China has a positive significance. "I personally support domestic oil futures, which means competing for pricing power for international oil prices," he said.　　Wang Zhen, dean of the College of Business Administration at PetroChina University, said that although having oil futures does not mean that China can fully price, it can at least participate in international pricing competition. In the eyes of Shinghai, assistant general manager of the last issue, the significance of oil prices is serious, "oil is not just a pure commodity, it has too much financial and political factors."　　Therefore, the oil problem is by no means a simple commodity problem, the oil market is by no means a simple commodity city often "in fact, as early as 2004 years ago has set up the oil Futures listing working group, Shinghai Another identity is the listed group leader." The Ministry of Energy and Chemical industry in the previous period said the previous period has been trying to apply for the listed oil futures, including system construction and other preparatory work has already been prepared, and only to the relevant departments for approval, "for example, if (the relevant departments) to approve the oil futures market tomorrow, we can immediately open." "The last issue also said that regulators and local governments also want to be able to market oil futures in the last period, but because the oil industry in China is highly concentrated, the relevant enterprises are not willing to open up their own price monopoly," steel futures was also because of iron and steel enterprises against, dragged for seven or eight years. After all, the domestic steel enterprises have more than 10, the oil industry by the three giants control, more monopoly, so the oil futures market more difficult than the steel futures. "There are two major factors that have constrained the listing of oil futures".　　"Wang Zhen believes that China's oil futures market wants to have the international right to speak, it must be a global market, but it is clearly not possible." In this respect, the above mentioned people also agreed, "Our rubber varieties, whether the volume or the amount of transactions, are ranked first in the world." But international markets are more likely to recognise the price of rubber in the Tokyo and Singapore markets because others are unable to participate in our futures market and therefore will not endorse it. "It is clear that foreign exchange controls and the monopoly of domestic oil companies on oil prices are two major constraints on the exchange of listed oil futures.Of。 The previous period said that the establishment of the Oil Futures Working Group 2004 years ago, because the domestic oil prices were far below the international market prices, domestic oil giants miserable, the country at that time to consider the oil market to solve the problem of petroleum enterprise losses. "But at present international crude oil 60 dollars per barrel-70 U.S. dollar price, domestic oil producers can accept, the country wants to through oil futures reform price pricing method will not be strong, oil futures appear to have to wait." "(chit)