ID :
18132
Fri, 09/05/2008 - 12:36
Auther :
Shortlink :
http://m.oananews.org//node/18132
The shortlink copeid
Japan, China Futures Markets to Be in "Huge Competition": CME's
Tokyo, Sept. 4 (Jiji Press)--China will develop financial futures
markets that will be in "huge competition" with Japanese markets, visiting CME Group Inc. Chairman Emeritus Leo Melamed said at a Jiji Press-sponsored lecture Thursday.
China "will develop financial futures in the not too distant
future," said Melamed, who has been advising China's financial community as well as the Chinese government in recent years.
"The longer they take, the more advantageous it might be for Japan,
because, clearly, that is huge competition in the years ahead," Melamed
said.
When CME Group signed a memorandum of understanding to strengthen
ties with Osaka Securities Exchange Co. <8697>, the operator of Japan's
largest derivatives exchange, on Wednesday, CME Group Chief Executive
Officer Craig Donohue said, "Through the MOU with OSE, we hope to further
extend CME Group's reach into the Asian marketplace," apparently meaning
China in addition to Japan.
Melamed is widely known as the founder of financial futures
markets. He created the International Monetary Market, the world's first
futures market for financial instruments, in 1972 and spearheaded the
introduction of Globex, the world's first futures electronic trading system.
In the lecture, Melamed revealed his interest in teaming up with
Tokyo Stock Exchange Inc. as well, saying that CME Group wants to develop
relationships, products and ideas together with the operator of Japan's
largest stock exchange.
Touching on the U.S. subprime mortgage crisis, Melamed warned that
"the full story is yet unwritten." Comparing the U.S. credit crunch to the
Asian financial crisis in the late 1990s, he said the crisis is now
happening on a global basis.
Many economists now believe all Group of Seven nations are already,
or soon will be, in recession, he said, adding, "It's realistic."
With regard to efforts to regulate speculative moves in U.S.
commodity futures markets, Melamed noted that there is a need to
differentiate between speculation and manipulation. "Speculation is the most
necessary element in a market system," he said, warning that inhibiting
speculators from taking risks would "injure the fundamental precepts of an
honest market."
Melamed also commented on Japan's economy. Although Japan now faces
"some real potential competitors" like China and India, it is still the
world's second largest economy and it "can play the central role of evolving
greatness in Asia."
Still, he advised that Japan has to restructure the regulatory
environment in order to bring more business and open up its financial
markets. He also said Japan's regulatory authorities should be careful not
to take steps that would restrict innovation.
markets that will be in "huge competition" with Japanese markets, visiting CME Group Inc. Chairman Emeritus Leo Melamed said at a Jiji Press-sponsored lecture Thursday.
China "will develop financial futures in the not too distant
future," said Melamed, who has been advising China's financial community as well as the Chinese government in recent years.
"The longer they take, the more advantageous it might be for Japan,
because, clearly, that is huge competition in the years ahead," Melamed
said.
When CME Group signed a memorandum of understanding to strengthen
ties with Osaka Securities Exchange Co. <8697>, the operator of Japan's
largest derivatives exchange, on Wednesday, CME Group Chief Executive
Officer Craig Donohue said, "Through the MOU with OSE, we hope to further
extend CME Group's reach into the Asian marketplace," apparently meaning
China in addition to Japan.
Melamed is widely known as the founder of financial futures
markets. He created the International Monetary Market, the world's first
futures market for financial instruments, in 1972 and spearheaded the
introduction of Globex, the world's first futures electronic trading system.
In the lecture, Melamed revealed his interest in teaming up with
Tokyo Stock Exchange Inc. as well, saying that CME Group wants to develop
relationships, products and ideas together with the operator of Japan's
largest stock exchange.
Touching on the U.S. subprime mortgage crisis, Melamed warned that
"the full story is yet unwritten." Comparing the U.S. credit crunch to the
Asian financial crisis in the late 1990s, he said the crisis is now
happening on a global basis.
Many economists now believe all Group of Seven nations are already,
or soon will be, in recession, he said, adding, "It's realistic."
With regard to efforts to regulate speculative moves in U.S.
commodity futures markets, Melamed noted that there is a need to
differentiate between speculation and manipulation. "Speculation is the most
necessary element in a market system," he said, warning that inhibiting
speculators from taking risks would "injure the fundamental precepts of an
honest market."
Melamed also commented on Japan's economy. Although Japan now faces
"some real potential competitors" like China and India, it is still the
world's second largest economy and it "can play the central role of evolving
greatness in Asia."
Still, he advised that Japan has to restructure the regulatory
environment in order to bring more business and open up its financial
markets. He also said Japan's regulatory authorities should be careful not
to take steps that would restrict innovation.
