NEW YORK The first trade has taken place on CME Group Inc.s aluminum premium swaps contract, the Chicago-based exchange said.
The trade, the first transaction since CME launched the contract in April, was a 27 lot strip transaction for November and December 2013 between a physical trader and a major dealer, according to CME. Jefferies Bache LLC brokered the deal, CME said.
The Midwest aluminum premium futures contract, which is based on Platts premium assessment, was introduced some two and a half years after CME opted to delist its aluminum futures contract due to inactivity (amm.com, Oct. 6, 2009
The contract aims to enable market participants in North America to better manage their price risk, according to the CME.