China launches index futures, all contracts rise

SHANGHAI (BestGrowthStock) – China launched trade in its first stock index futures contracts on Friday in a milestone move to deepen the country’s financial markets, with all four contracts opening higher.

The nearest May 2010 contract, to be delivered on May 21, was bid at 3,457 points in early trade, up 1.7 percent from the base value of 3,399 points set for the all the contracts by the China Financial Futures Exchange a day earlier.

The spot CSI300 (.CSI300: ) index, on which the futures are based, closed at 3,394.574 points on Thursday. The CSI300 index is composed of the most actively traded and highly capitalized shares on the Shanghai and Shenzhen markets.

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(Reporting by Lu Jianxin and Edmund Klamann)

China launches index futures, all contracts rise