Futures No trading in BSI

Press, 26 January 1988, Page 24

Futures No trading in BSI

There were no contracts on the Barclays share index futures market yesterday, for the first time since trading in the contract began in January 1987.

Mr Stewart Auld, a dealer for Mair Astley Futures of Christchurch, said the closure of the Wellington sharemarket for the provinces anniversary day, and the Australian market’s stoppage for Australia Day, left the market without direction. “I wouldn’t expect the market to pick up till about Wednesday, when the Australian market reopens,” Mr Auld said. He said the March Barclays contract was quoted at 1860/65, which was below Friday’s close of 1899. “I think the physical market was down about 20 points today, but trading on it was very quiet too. The whole market was very quiet,” he said. At the close, the Barclays physical was at 1935, putting Friday’s last sale on the BSI futures market of 1899 at a 36 point discount to the physical.

Interest rate futures were also poorly traded yesterday. No 90-day bank bill contracts changed hands, and only 84 Government stock contracts were traded. The March GSK contract closed 2 points up at 8556. “There was good support about the 8555 level, but I think the short term prospects are for the contract to fall further,” Mr Auld said.

Short term interest rates are expected to firm a little as the demand for finance increases with the March tax-take looming. Wool futures were traded only in the forward months yesterday (three August contracts changed hands), indicating the lack of interest, Mr Auld said. There were no wool auctions yesterday — the next being scheduled for January 28 — and the dull trading in the N.Z. dollar left the wool futures market with little direction.

“Because of Wellington and Australia being closed, the dollar traded

in a tight range of 6650/ 66,” Mr Auld said. SUS CONTRACTS Mth Open H/L Last Vol Feb 5129 129/004 004 122 Contracts traded: 122. Open positions at January 22: Feb 120, Mar 42, total 162 (down 7). COMMERCIAL BILLS Contracts traded: nil. Open positions at January 22: Mar I, Jun 10, total 11 (same). GOVERNMENT STOCK Mth Open H/L Last Vol Mar 8560 560/555 556 84 Contracts traded: 84. Open positions at January 22: Mar 1810, Jun 160, Sep 119, total 2089 (up 153). WOOL Mth Open H/L Last Vol Aug 672 672/672 672 3 Contracts traded: 3. Open positions at January 22: Jan 16, Mar 299, May 310, Aug 52, Oct 25, Dec 20, total 722 (up 2). 90-DAY BANK BILLS Contracts traded: nil. Open positions at January 22: Feb 407, Mar 677, Apr 42, Jun 220, Sep 195, Dec 181, Mar 31, Jun 17, Sep 5, total 1775 (up 36). BARCLAY’S SHARE INDEX Contracts traded: nil. Open positions at January 22: Mar 345, Sep 52, total 397 (down 14).