China's Sinopec Corp has ended a five-year crude oil purchasing strategy to...
SINGAPORE - China’s Sinopec Corp has ended a five-year crude oil purchasing strategy to rein in the speculative derivatives activity of its trading arm Unipec after a record trading loss late last year, four people with direct knowledge of the matter told Reuters.
The formula-based cost target, though, was blamed by two of the sources for driving speculative trades that led to a nearly $700 million loss for Unipec in the final quarter of 2018. Unipec cut back its over-the-counter paper activities shortly after news of the fourth-quarter loss broke, said a trader active in derivatives.
The sources declined to be named because of the sensitive nature of the matter. Sinopec declined to comment on the change in purchasing strategy. But it also was a factor in the fourth-quarter loss, which occurred amid an unexpected plunge in global oil prices that caught many traders off-guard, and led to Unipec posting a net loss of 4 billion yuan for the whole of 2018 as reported by Sinopec last month.
Australia Latest News, Australia Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
China Floats Cloud Concession to Foreign Tech Firms in U.S. Trade TalksChina is offering foreign technology firms better access to the country’s fast-growing cloud-computing market, according to people briefed on the matter, as Beijing fashions a compromise in a tech sector the U.S. wants opened as part of a trade deal.
Read more »
European stocks set to climb on US-China trade optimismEuropean shares are set to start Friday's session in positive territory, with investors hopeful of progress in U.S.-China trade talks.
Read more »
Asian stocks gain on hopes of progress in U.S.-China trade talksAsian shares rose on Friday, led by a surge in Chinese equities, on hopes that W...
Read more »
Exclusive: Goldman's China-backed fund bucks trade tensions to buy U.S. firmGoldman Sachs Group Inc invested money from China's sovereign wealth fund i...
Read more »
Dow futures slightly higher amid hopes of progress in US-China trade talksU.S. stock index futures were slightly higher Friday morning, amid renewed optimism on the progress of trade talks between Washington and Beijing.
Read more »
US Treasury yields move higher ahead of new data and Fed speechesU.S. government debt prices were lower on Friday morning as traders monitor US-China trade talks.
Read more »
U.S., China resume trade talks in Beijing after 'productive working dinner'U.S. Treasury Secretary Steven Mnuchin said on Friday he had a 'productive ...
Read more »
Chinese shares surge more than 3 percent as trade talks in Beijing concludeShares in China surged on Friday as trade negotiations between the U.S. and China resumed in Beijing this week.
Read more »
Mnuchin says U.S.-China trade talks were 'constructive'U.S. Treasury Secretary Steven Mnuchin said in a tweet on Friday that he and U.S...
Read more »
U.S., China hold 'constructive' trade talks in BeijingU.S. Treasury Secretary Steven Mnuchin held 'constructive' talks in Be...
Read more »