The futures market is a "niche market" that is not familiar to ordinary people. However, due to its natural commodity trading attributes, it has become a professional financial market for real enterprises to manage production and operation risks.
my country's modern futures market has a development history of more than 30 years. Entering a new era, under the strong leadership of the Party Central Committee with Comrade Xi Jinping as the core, my country's financial industry continues to move towards high-quality development. The futures market serves the needs of entities with professional expertise, supports national strategies with innovative development, and maintains stability with characteristic supervision. The bottom line of risk has continued to increase its influence in Asia and even internationally, and has also become a true reflection of the road to building financial development with Chinese characteristics.
Hedging, price discovery, basis trading, warehouse receipt pledge... Ordinary people may be unfamiliar with these futures terms, but they are familiar to many physical enterprises and even large agricultural growers.
The futures market is a product of the development of the commodity economy to a certain stage. Entity companies can enter the market to purchase or sell related products in advance and lock in costs or profits.In 1990, the establishment of Zhengzhou Commodity Exchange opened the way for the development of my country's modern futures market. Subsequently, the Dalian Commodity Exchange, Shanghai Futures Exchange, and China Financial Futures Exchange were successively approved to be established. In April 2021, the Guangzhou Futures Exchange was officially established. So far, my country's futures market has formed a pattern of five major futures exchanges coexisting.
