Moneywise. Be wise

Metals

Metals

Metals

Shanghai Gold Futures

China is known as the one of the biggest gold producing and consuming countries in the world. It is also one of the top two importers of gold globally. Traditionally, China has been deficient in gold investments at both the sovereign and investor level. Gold consumption in China has risen significantly with consistent purchases by the Government of China. The government has also encouraged the Chinese public to invest in gold and use it as an instrument for their savings.

Contract Specification

Parameters

Contract Symbol

DSGC

Underlying

Shanghai Gold Benchmark Price PM *

Contract Size

1,000 Gram (1kg)

Quality Specification

Not lower than 0.9999 purity

Trading Currency

CNH

Settlement Currency

CNH

Price Quote

CNH/Gram (e.g. Bid 284.56/ Ask 284.57)

Tick Size

0.01 CNH

Tick Value

10 CNH

Daily Price Movement Limit

No Limit**

Max Order Size

500 contracts for Banks and institutions promoted by Banks. All other entities 200 contracts

Trading Days

Monday through to Friday

Trading Hours

07:00 - 23:55 Hours Dubai time (GMT+4)

Trading Months

February, April, June, August, October, December. M1-M2 Spread contract (e.g. Feb-Apr; Apr-Jun, Jun-Aug etc.) and Jun-Dec Spread contract (Dec-Jun Spread contract)

Last Day of Trading

The 15th day of the expiring contract month. If it is a holiday in Shanghai Gold Exchange (SGE) or Dubai Gold & Commodities Exchange (DGCX), then the Last Day of Trading shall be the next Business Day for SGE after the holiday which is not holiday in DGCX. The expiring contract will close market at 12 PM Dubai time on the Last Day of Trading

New Contract Listing

Business Day immediately following the Last Day of Trading

Settlement

Cash settled

Final Cash Settlement Price basis***

The Final Cash Settlement Price shall be the Shanghai Gold Benchmark Price PM as published by SGE at approximately 1415 hours Beijing time on the Last Day of Trading.

Initial Margin based on SPAN

CNH 9,500 per lot, Subject to change

Calendar Spread Margin

Currently 100% benefit is offered on calendar spread margins

Extra Margin

In times of high volatility, an extra margin as deemed fit by the DGCX may be imposed on all open positions

Wholesale Trades

As per DGCX By-Laws.

*Benchmark Gold PM Fixing prices as declared by Shanghai Gold Exchange at around 1415 Hrs China Time

 

**There will be no limits on intra-day price movements, however to restrict data-entry errors the system will not allow entry of orders having prices 5% above or below the closing price of the previous trading day. The DGCX shall relax the intra-day price range for the prices of the contract approaching the 5% limit.

 

*** Example: If Shanghai Gold Benchmark PM price as published by Shanghai Gold Exchange on last day of trading of near month DSGC futures contract is RMB 280/gram then Final Settlement Price of DSGC near month futures contract will be CNH 280/gram