Moscow Exchange to update deliverable wheat futures parameters

From 25 April 2022, the parameters of the MOEX deliverable 4 Class Wheat Futures Contract (trade symbol WH4) will change, which will make the contract more accessible to all categories of market participants and their clients, including agricultural producers.

The contract lot is reduced by 25 times to 1 ton; the tick value is reduced to RUB 10 (from RUB 250). The tick and the quote size remain unchanged. As a result, the contract nominal value, fee per contract and initial margin will decrease.

The wheat futures contract started trading on Moscow Exchange on 21 December 2020. The contract is quoted in RUB, excl. VAT per ton of class 4 wheat. Futures contract transactions on the Derivatives Market are cleared by National Clearing Centre, which acts as a central counterparty for all Moscow Exchange markets. Delivery takes place on the spot market of the National Mercantile Exchange (NME, part of the Moscow Exchange Group). Only MOEX trading and clearing members of the NME spot market can hold the contract to delivery. Delivery transactions are cleared by National Settlement Depository.

The delivery basis are 16 elevators located in the Central Federal District.
Moscow Exchange (MOEX) is Russia’s largest exchange operating the country’s only multifunctional trading platform for equities, bonds, derivatives, currencies, money market instruments and commodities.
The MOEX Derivatives Market currently offers 97 futures contracts and 47 options on futures. Underlying assets include equity indices, shares, currency pairs, real estate, precious and industrial metals, oil, gas and other commodities, as well as interest rates.