Copper futures

Copper Futures 

Both in today’s modern world and historically, commodities have been basic building blocks of the economy. What are commodities? Keeping things simple, commodities are raw materials that are used everyday for daily uses.

 

Copper has placed itself as a prime futures trading instrument for many. Uses of copper include a variety of markets such as architecture, construction and plumbing. The 5.8 trillion pounds of copper that are mined yearly, are stated to be the third most used metal in the world.

 

Due to copper’s role in urban and industrial development, the commodity is a good indicator of economic growth in specific region. Copper consumption has steadily grown since 2011, with its main consumer being China.

 

Copper prices depend largely on the condition of other markets; therefore trading copper futures requires close attention paid to other developing. In addition, investors must keep in mind that trading copper futures requires active and frequent trading. This is due to the high volatility of copper contract prices.

 

Where are copper contracts traded?

Some of the most popular exchanges on which copper futures are traded on include: COMEX, London Metal Exchange and Multi-Commodity Exchange

 

How to trade copper futures successfully

The very basics of online trading of any kind include carefully studying the asset being traded. Suggestively, trading copper futures contracts requires the trader to be educated on the copper market participants and consumers.

 

As mentioned before, copper is widely used in construction and as it follows, traders must be updated with news related to the construction industry in order to stay informatively evaluate copper market trends.

 

To trade copper futures successfully, PCM International offers not only the best futures trading platform, but also all the tools and information needed for educated and intelligent trading.

Copper futures

Symbol

Contract Size

Underlying Asset

DCU

5 MT

DGCX Copper Futures

Price Quote

Minimum Tick Size

Daily Price Movement Limit

Final Cash Settlement Price Basis

Quality Specification

Trading Months

Trading Days

Trading Hours

Last Trading Day

New Contract Listing

EFP / EFS/Block Trades

Time Limit for EFP/EFS/Block Trade Registration

US$ per MT

US$ 0.50 per MT (US$ 2.50 per contract)

No Limit - Note 1*

The front month settlement price for Copper futures as made public by COMEX for the Last Day of Trading of the DGCX front month contract, converted using conversion factor of 2,204.623 to MT and rounded to the nearest DCU tick.

Grade 1Electrolytic Copper Cathodes (full plate or cut) conforming to the American Society for Testing and Materials (B115-00), or its latest revision.

March, May, July, September, December. Minimum five (5) Contracts shall be listed for trading at all time

Monday through Friday

07.00 – 23.30 hrs

Third last Business Day preceding the Delivery Month

Business Day immediately following the Last Day of Trading

As per DGCX By-Laws
Minimum Block size permitted is 200 contracts

Up to 15 minutes after cessation of trading on any Trading Day.

Max Open Position Limit

Max Order Size

As determined by the Exchange from time to time

200 contracts

Initial Margin based on SPAN

Click on the "Initial Margin" TAB