Circular on the Delivery Issues of SC1908
According to INE, the last trading day for crude oil futures contract SC1908 is July 31st, 2019 (Wednesday) and the delivery period is five consecutive trading days after the last trading day, which are from August 1st (Thursday), August 2nd (Friday), August 5th (Monday), August 6th (Tuesday), August 7th (Wednesday). Accordingly, Shanghai International Energy Exchange (hereinafter referred to as “the Exchange”) hereby notifies issues concerning delivery as follows:
1. In accordance with the Article 142 of Delivery Rules of Shanghai International Energy Exchange, a natural person as a client shall close out all the positions of SC1908 before the market close on July 19th, 2019 (Friday).
Members shall remind the natural person clients to manage their positions by timely closing out.
2. In accordance with the Article 8 of Delivery Rules of the Shanghai International Energy Exchange, the clients who cannot issue or accept the prescribed invoices of the Exchange shall not make or take the crude oil futures delivery.
Members shall remind their clients of concerning rules and fully understand the clients' qualification and capability of delivery. Clients who cannot or will not make or take delivery shall be well reminded of the liquidity risk while approaching the delivery month. Clients intending to engage in the delivery shall complete the opening of standard warrant accounts through the Standard Warrant Management System. Clients as buyers shall get prepared for the payments, while clients as sellers shall get the standard warrants ready.
3. In accordance with the Article 31 of Delivery Rules of the Shanghai International Energy Exchange, the Exchange, in its sole discretion, may appoint specific Members, OSPs, Overseas Intermediaries or Clients to submit large trader position reports or other supporting materials.
Members shall know about their clients’ positions and manage risks in a sound manner.
All parties concerned shall abide by the relevant rules and make preparations for the sound delivery of SC1908.
News Link: http://www.ine.cn/news/notice/1794.html