China's treasury bond futures are having a mixed impression over the current market. The price range for the stakes has seen accountable ups and downs on this Tuesday and Wednesday.
The Status of The Contracts for Settlement in September 2018:
According to Xinhua, the treasury bond futures closed at higher rates than expected, with the contracts for September 2018 closing at 98.51 yuan on Tuesday, which was 0.13 percent higher than the past track. On Wednesday, the contracts for settlement in September 2018 held a sharp decrement of 0.01 percent at 98.45 yuan.
The Contracts for Settlement in December 2018 Moving Well:
However, in the case of the contracts for settlement in December 2018, the story was a bit different. The contracts saw sharp increments over the period of these two consecutive days. The contract for settlement in December 2018 closed at 98.65 yuan on Tuesday. The rate was 0.13 percent higher than the past track.
The contract for settlement in December 2018 held another hike of 0.01 percent on Wednesday, at the opening of the market. the rate offered for each stake was 98.60 yuan at the beginning of the day. The contracts for settlement in March 2019, had no trading till the closure of market on Tuesday. On Wednesday, the contracts for settlement in March 2019 saw no trading at the opening time of the market.
China.org described the contracts for settlement as agreements to buy or sell treasury bonds at a predetermined price on a set date. These contracts enable investors to bet on the stakes and simultaneously extract from the proceedings and movements in the value of the bonds.
Chinese treasury bond futures made its first official debut at the Shanghai-based China Financial Futures Exchange on Sept. 6, 2013. The step was taken by the Ministry of Finance of China as a similar investment opportunity like the U.S. Treasury bond futures. The bonds started trading for the first time during the same period.
