ICAP Australia launches wholesale brokered wool market
25 March 2013
Sydney, 25 March 2013 – ICAP (IAP.L), the world's leading interdealer broker and provider of post trade risk and information services, today announced the launch of a new wholesale brokered Wool market for Australia’s main export destination: China. The principal China types that ICAP broker are Type 54p (18.5M), Type 54 (19.5M), Type 55 (21.0M), Type 56 (22.6) and Type 424 (28.8M).
ICAP has worked closely with Australia’s main wool participants, including the Australian Council of Wool Exporters, farmer organisations, pastoral houses, domestic wool traders and processors to develop this robust wool market. The market brings together efficiently the entire supply chain in Australia’s wool trade from the grazier to the end user, in an environment that is centrally based and actively traded, 5 days a week, from 11:00am till 5:00pm via the ICAP "live" view screen.
ICAP’s wool market screens show real time pricing from the spot contract (14 Days) out to one year, including option contracts, with wool deliverable on all dates.
ICAP aims to bring its global strengths of financial market connectivity and liquidity to the Australian wool market helping to provide this commodity with an international presence.
Garry Booth, Manager of Agricultural & Soft Commodities at ICAP, said: "Since the launch there has been strong demand for this completely new market and we are very pleased with the volumes and significant interest from customers. Trading has been active in the forward and options markets, generating strong feedback and interest from the market as a whole."
Simon Hood, Wool Manager for Michell, Adelaide, Australia's oldest and largest Wool processor commented: "The new ICAP wool trading service gives us the ability to offset risk from our normal trading business. Additionally, it provides the basis for the development of innovative products to be used by our wool growers and offshore customers. The generic product specifications are straightforward with a wholesale focus, yet the service provides flexibility for off types as well as option trades. It is a welcome addition to the commodity risk management space."
|Serra Balls ||Head of Public Relations || +44 (0)20 7050 7124 |
|Guy Taylor ||Communications US ||+1 212 341 9759 |
ICAP is the world's leading interdealer broker and provider of post trade risk and information services. The Group matches buyers and sellers in the wholesale markets in interest rates, credit, commodities, FX, emerging markets and equity derivatives through voice and electronic networks. It operates several electronic market places. Through our post trade, risk and information services we help our customers manage and mitigate risks in their portfolios.
ICAP Brokers Pty Ltd is authorised to trade for wholesale clients only under its AFSL #234593.
For more information go to www.icap.com