Energy futures and options clearing and execution services
Sucden Financial has been active within the energy markets since 1980. We offer energy clearing and execution services for listed futures and options. In addition to being a member of ICE Futures Europe, we also cover all the main listed products on NYMEX, providing direct electronic market access and expert hedging and risk management assistance.
Futures and options clearing
- ICE Clear Europe
- Direct electronic access
- Refined products - gasoil, heating oil, RBOB
- Block posting EFP/EFS
- Expert hedging/risk management assistance
The team provides both voice and electronic futures and options execution and clearing for clients trading metals and other industrial commodities, including energy. They also provide services for softs and agriculturals, FX and other financial markets.
The team works for producers, consumers, fabricators and traders, financial institutions and hedge funds, as well as investors in the commodity futures and options markets. Skills and experience range from open-outcry trading floors, commodity brokerages and banks, to operations and support roles. Given the nature and complexity of the markets, particularly the London Metal Exchange (LME), the desk provides additional liquidity, also enhanced by direct access to our ring team.
With the extraordinary industrial and financial market growth in China and surrounding regions, we have expanded our footprint in Asia. Today we have arguably the largest team of Chinese-speaking LME specialists in London, supported by experts at our Hong Kong subsidiary, ensuring round-the-clock support and essential local knowledge. We now serve a wide range of clients with differing needs, from those looking to fix and protect against commodity price risks, to financial institutions looking to access a wide range of financial instruments.
We have a strong history of dealing with a wide range of financial institutions, both as clients and as counterparties. This includes banks, proprietary trading firms, hedge funds, pension funds and asset managers. We can customise solutions for execution and clearing, sourcing liquidity, or providing prime brokerage services.
From the outset, we have evolved our solutions and services to meet a wide variety of the need of large corporations, taking care to fully understand their aims and objectives. Our long-term corporate clients take comfort from our capabilities, financial strength and stability, together with the support of the Sucden Group.
The global economy performed better than expected so far in 2023, but concerns about a cold winter, rising oil prices, high borrowing costs, and China's economic slowdown are looming large. Central banks are maintaining the narrative of higher-for-longer interest rates due to persistent higher prices, which has weighed on base and precious metals' performance. Despite pledges from Beijing to support the economy, current measures are not expected to have an immediate impact on the real estate sector, which means that there is unlikely to be a large-scale property development that would increase demand for stainless steel prices in the last quarter of the year. Nonetheless, the cumulative impacts of policy support and a dovish monetary policy in China should create a solid foundation for the economy to recover in 2024. Such a transition should push the sentiment from the oversold into neutral. News out of China and the US should bring stronger bounds of volatility in base metals’ performance in Q4 2023.
Our analysts provide an insight into the Electric Vehicle and Battery Material Market. They give an update on how the energy industries in major regions are transitioning towards renewable alternatives, new policies to support EV sales, and a fundamental outlook for Nickel, Cobalt, and Lithium. Supply-chain bottlenecks and strong EV consumption have meant a sharp increase in the prices of materials and chemicals. Will this continue?
China held the National People’s Congress in early March, drawing thousands of delegates to the biggest reshuffle of China’s economic policy team. In this note, we look at the impact of the latest NPC meeting to help gauge the mark of new policies on longer-term economic prospects from the region.
Monthly commentary covering the FX markets, providing insights on recent developments on select currency pairs. The Japanese yen is near the three-decade low against the dollar, reigniting speculation over another round of interventions from the government. Last year, for the first time since 1998, authorities stepped in as the local currency was approaching the 150 level. With the yen now fluctuating just below this level, will there be another move from the BOJ to intervene and push the currency higher?
Our FX Options Report contains commentary and analysis covering OTC currency option pricing, volatility and positioning. USDBRL has been subject to fluctuation in recent months, given the uncertainty surrounding the monetary policy outlook from both the BCB and the Fed. With Brazil set to continue on its dovish path and the US’ peak rates being priced in, what is the outlook for USDBRL in the near term?