China launches contract to the copper market and competes with major world stock exchanges
The commercialization of assets is the new strategy of the Asian country to boost the copper industry in the nation
One of the largest consumers of raw materials such as China, has launched a forward contract in the copper market that seeks to compete with the major world stock exchanges in the commercialization of assets.
The agreement stipulates the highest prices in eight years and aims to stimulate “the continued growth of the Chinese copper industry” as indicated by the division of China’s largest commodities exchange, Shanghai International Energy Exchange (INE).
Although China already had a contract open to foreign investment, it was a purely domestic business agreement, this time the contract to the copper market has a broader vision of expansion.
“The larger the Chinese market share for a given raw material, the more capacity the Shanghai Stock Exchange will have to attract foreign investors,” says Philippe Sébille-Lopez, from the Geopolia Institute.
This could generate large contributions to the Chinese economy due to the strengthening of the financial system of that country, the price of the metal will reach even higher values as those currently reflected, standing at 8,000 dollars per ton on the London Metal Exchange.
K.Villarroel
Source: bancaynegocios
