At-a-glance
Alumina FOB Australia futures contracts offer the opportunity for industry participants to manage price risk exposure in the alumina market. Exchange-traded, cash-settled futures contract offers aluminum and associated industries the ability to effectively mitigate alumina price risk exposure.
Market participants can employ a range of derivatives strategies from protecting margins, hedging physical long positions, offering floating and fixed price physical transactions and mitigating their alumina price risk more effectively using a futures contract settling against either S&P Global Platts Alumina Index FOB Australia or Metal Bulletin’s FOB Bunbury, Australia Alumina Index.
Alumina FOB Australia (Platts) Futures and Alumina FOB Australia (Metal Bulletin) Futures contracts are a part of CME’s global suite of Aluminium contracts.
Key Benefits
Easily accessible electornic exection
Daily market-to-market of positions
Security through centralized clearing, guaranteed counterparty credit and segration of customer funds through CME Clearing
True intraday price and spread transparency across the futures' curve
| Alumina FOB Australia (Platts) Futures (ALA) | Alumina FOB Australia (Metal Bulletin) Futures (ALB) | |
|---|---|---|
| Contract Unit | 100 metric tons | |
| Price Quotation | U.S. dollars and cents per metric ton | |
| Trading Hours | CME Globex and CME ClearPort: Sunday – Friday 6:00 p.m. – 5:00 p.m. (5:00 p.m. – 4:00 p.m. (Chicago Time/CT) with a 60-minute break each day beginning at 5:00 p.m. (4:00 p.m. CT) | |
| Minimum Price Fluctuation | $0.01 per metric ton | |
| Product Code | CME Globex: ALA CME ClearPort: ALA Clearing: ALA | CME Globex: ALB CME ClearPort: ALB Clearing: ALB |
| Listed Contracts | Monthly contracts listed for the current year and the next 2 calendar years. | |
| Settlement Method | Financially Settled | |
| Floating Price | The Floating Price for each contract month shall be equal to the arithmetic average calculated to two decimal places of each available daily price Index published for Platts Alumina Index FOB Australia (PAX Australia) US$ per metric tonne for that given calendar month by S&P Global Platts. | The Floating Price for each contract month shall be equal to the arithmetic average calculated to two decimal places of each available weekly price Index published for Metal Bulletin’s FOB Bunbury, Australia Alumina Index US$ per dry metric tonne for that given calendar month by Metal Bulletin |
| Termination Of Trading | Trading terminates on the last business day of the contract month | |
| Position Limits | Visit cmegroup.com/nymex-position-limits for detailed NYMEX Position Limits | |
| Exchange Rulebook | COMEX 195 This contract is listed with, and subject to, the rules and regulations of COMEX | COMEX 196 This contract is listed with, and subject to, the rules and regulations of COMEX |
| Block Minimum | 10 contracts | |
Essentials
Resources
All examples in this report are hypothetical interpretations of situations and are used for explanation purposes only. The views in this report reflect solely those of the author and not necessarily those of CME Group or its affiliated institutions. This report and the information herein should not be considered investment advice or the results of actual market experience.
