Palm Oil Calendar Futures and Options - CME Group

Palm Oil Calendar Futures and Options

New Crude Palm Oil and Palm Olein Calendar futures track the average prices for palm oil/olein. This allows producers, processors and end-users in an industry characterized by continuous production and processing, to more effectively manage the price risk they are exposed to on a daily basis.

Complementing the existing benchmark oilseed products available on CME Globex, including CBOT Soybean Oil and BMD Crude Palm Oil (FCPO), the addition of Palm Oil Calendar futures and options provides customers with enhanced hedging opportunities on a single hub.

Key Features

  • Access through existing FCM relationship
  • U.S. dollar- denominated and cash-settled
  • New spreading opportunities with benchmark CBOT Soybean Oil futures and options
  • Reduced capital requirements due to cross-product margin efficiencies
  • Financial integrity of CME Clearing

Malaysian Crude Palm Oil Calendar Futures

Based on the global benchmark Bursa Malaysia Derivatives (BMD) Crude Palm Oil futures (FCPO), the Palm Oil Calendar futures contract complements the palm products offered by BMD on the CME Globex platform. It replicates the risk coverage of CME Group’s popular Calendar Swaps, in a futures contract that can be accessed through an existing FCM relationship.

Malaysian Crude Palm Olein Calendar Futures

Palm Olein Calendar futures provides exposure to a cash-settled palm olein market, an advantage for those who are unable to take physical delivery. The contract also offers an alternative to trading the physically- delivered FOB Port Klang/Pasir Gudang (PK/PG) paper olein market, while mitigating counterparty default risk. Palm oil refiners can combine Palm Olein Calendar futures and Palm Oil Calendar futures to lock in a portion of their refining margin, particularly important in the far forward months when the management of counterparty risk exposure is so critical owing to the long time horizons involved.

Average Price Options on Palm Oil Futures

With multiple strikes and maturities, options offer additional flexibility and precision, allowing market participants to better tailor their risk management strategies to their specific needs. Options can also be less margin- intense than futures during periods of heightened volatility.

USD-denominated Malaysian Crude Palm Oil Calendar Futures (CPO)

Contract Specs
Contract Unit 25 Metric Tons
Minimum Price Fluctuation $0.25 per Metric Ton
Price Quotation U.S. Dollars and Cents per Metric Ton
Trading Hours CME Globex: Monday – Friday, 8:30 a.m. – 1:20 p.m.
CME ClearPort: Sunday - Friday 5:00 p.m. - 4:00 p.m. CT with a 60-minute break each day beginning at 4:00 p.m.
Product Code CME Globex: CPO
CME ClearPort: CPO
Clearing: CPO
Listed Contracts Monthly contracts listed for 60 consecutive months
Termination Of Trading Trading terminates on the last Bursa Malaysia business day of the contract month.
Position Limits CME Position Limits 
Exchange Rulebook CME 204
Block Minimum Block Minimum Thresholds
Vendor Codes Quote Vendor Symbols Listing
Settlement Method Financially Settled

USD-denominated Malaysian Palm Olein Calendar Futures (OPF)

Contract Specs
Contract Unit 25 Metric Tons
Minimum Price Fluctuation $0.25 per Metric Ton
Price Quotation U.S. Dollars and Cents per Metric Ton
Trading Hours CME Globex: Monday – Friday, 8:30 a.m. – 1:20 p.m.CT
CME ClearPort: Sunday - Friday 5:00 p.m. - 4:00 p.m. CT with a 60-minute break each day beginning at 4:00 p.m.
Product Code CME Globex: OPF
CME ClearPort: OPF
Clearing: OPF
Listed Contracts Monthly contracts listed for 23 consecutive months
Termination Of Trading Trading terminates on the last Bursa Malaysia business day of the contract month.
Position Limits CME Position Limits 
Exchange Rulebook CME 204C
Block Minimum Block Minimum Thresholds
Vendor Codes Quote Vendor Symbols Listing
Settlement Method Financially Settled

USD Malaysian Crude Palm Oil Average Price Option (POO)

Contract Specs
Contract Unit 25 Metric Tons
Minimum Price Fluctuation $0.10 per Metric Ton
Price Quotation U.S. Dollars and Cents per Metric Ton
Trading Hours CME Globex: Monday – Friday, 8:30 a.m. – 1:20 p.m.CT
CME ClearPort: Sunday - Friday 5:00 p.m. - 4:00 p.m. CT with a 60-minute break each day beginning at 4:00 p.m.
Product Code CME Globex: POO
CME ClearPort: POO
Clearing: POO
Listed Contracts Monthly contracts listed for 12 consecutive months
Termination Of Trading Trading terminates on the last Bursa Malaysia business day of the contract month.
Position Limits CME Position Limits 
Exchange Rulebook CME 204D
Block Minimum Block Minimum Thresholds
Vendor Codes Quote Vendor Symbols Listing
Settlement Method Deliverable
Underlying USD Malaysian Crude Palm Oil Calendar Futures

About CME Group

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