The contract will allow food processors, commercial firms and other multinationals that use crude palm oil and trade in US dollars to hedge risk, according to the CME. Crude palm oil is the most consumed edible oil in the world and is used in biodiesel, as well as products such as cooking oil and soap.
Each contract will be equivalent to 25 metric tons of crude palm oil and will trade from 5pm to 4pm (CST) on the following day, from Sunday to Friday with a daily one-hour trading halt.
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