April 8, 2002 - Hong Kong Exchanges and Clearing Limited (HKEx) will introduce Dow Jones Industrial Average (DJIA) Futures for trading on Hong Kong Futures Exchange, a wholly-owned subsidiary of HKEx, on Monday, 6 May.
The DJIA is a widely recognized benchmark for the performance of the US stock market. The price-weighted index comprises 30 US blue-chip stocks traded on the New York Stock Exchange and Nasdaq. As of 28 March 2002, the 30 US stocks in the DJIA had a total market capitalization of about US$3,453 billion (approximately $26,933 billion) and represented more than a fifth of the investable US stock markets value.
The contract multiplier for DJIA Futures is $10 per index point. Thus, if the index is at 10000, the value of one futures contract is $100,000.
The trading hours for DJIA Futures will be 9:00 am to 12:30 pm and 2:30 pm to 4:15 pm Hong Kong time.
"The Dow Jones Industrial Average is recognized around the world and widely used to track the performance of the US stock market," Kwong Ki-chi, Chief Executive of HKEx, said. "Dow Jones Industrial Average Futures expand our range of international benchmark products and they strengthen Hong Kong’s position as an international financial centre."
"The introduction of Dow Jones Industrial Average Futures in Hong Kong will enable investors to respond quickly to corporate announcements or other market events before or after regular US trading hours," Mr Kwong added.
"The Dow Jones Industrial Average is the best known stock market index in the world. With the launch of this futures contract by our partners at the HKEx, investors in all the major regions of the world now have access to exchange products based on the DJIA. We are committed to furthering Asian investor access to additional exchange products based on Dow Jones' index family and are extremely pleased with our entry into Hong Kong," said David Moran, President of Dow Jones Indexes.
About HKEx
HKEx is the publicly listed holding company of The Stock Exchange of Hong Kong Limited, Hong Kong Futures Exchange Limited and their related clearing houses. The company provides a comprehensive range of pre- and post-trade investment services as well as market information services. HKEx’s stock exchange is the second largest in Asia and the tenth largest stock exchange in the world. For more information, please visit HKEx’s website at www.hkex.com.hk.