Credit Suisse has closed the first ever coking coal swap transaction through a new over-the-counter (OTC) contract cleared by the CME Group, Reuters reports. The contract, signed between Credit Suisse and an unnamed coal industry participant involving 60,000 tonnes of the steelmaking raw material, was settled against the Platts Australian coking coal index.
On August 26, the Platts index stood at $289 per tonne, free on board Australia. The move follows Credit Suisse and Deutsche Bank’s co-launch of an OTC iron ore paper market by offering cash-settled swaps settled against index-based reference prices.
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