Abstract
This paper examines the role of copper futures in China's financial market, listed in the Shanghai Futures Exchange (SHFE) in 1991 as the first nonferrous metal futures commodity. Today, it is one of the well-developed and mature futures contracts in the Chinese commodity futures market. We analyze the current situation of the Chinese copper market, both spot and futures, along with the role of hedging with copper futures in the whole copper industry chain and the role of copper futures in the spot market. The results show that hedging with copper futures is significant for metal enterprises from all parts of the copper industry chain as an essential tool to offset price risks and for stable development; it also optimizes resource allocation in the economy and improves the efficiency of Chinese metal enterprises.
Sign-in/Register to access full text options 
Free) 
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a call
