If the Qingshan incident was delivered in kind, at what price did the bulls buy it?

Futures is a zero-sum game! Qingshan has 200,000 tons of empty orders, and there must be one or more orders in the market totaling 200,000 tons! In order to better understand, I only answer from the conditions given on the surface, not in detail!

We assume that Castle Peak's opponent (Duodan) is Glencore. Empty orders sold in Qingshan, unit price: 20,000 tons; Glencore bought more than one order at a unit price of 80,000 tons.

Then, when the March contract delivery date of nickel comes: March 9, can Qingshan and Glencore have several delivery methods? Different delivery methods lead to different delivery prices!

1. Spot delivery, and the delivery price is calculated according to the selling price of empty bills. When Qingshan and Glencore can make spot delivery, Qingshan will deliver 200,000 tons of spot to Glencore; At the same time, Glencore can transfer the payment of 20,000 tons/ton x 200,000 tons = 4 billion to Qingshan's capital account.

But the actual situation, after the transaction is completed, Qingshan still needs to pay VAT! How much is the VAT? Deliver the settlement price according to the last trading day! * Please remember this settlement price, which will be mentioned later. So, what is the settlement price for delivery on the last trading day?

The settlement price of centralized delivery on the last trading day generally adopts the weighted average price of all transaction prices of futures contracts from the first trading day to the last trading day of the delivery month.

The liquidation is completed at the current futures market price. Anyone who has played futures knows that there is almost no physical delivery in reality. Speculators and hedgers use liquidation to end futures contracts. Before the delivery date agreed in the futures contract, the party who opens an empty position buys multiple pairs from the bulls to offset the empty position opened before, and the settlement price is the current futures price.

Back to the example of Qingshan Group, on March 8, the highest transaction price of nickel reached $6,543,800+per ton, but the stock exchange cancelled all transactions on that day, so the current price of nickel is about $50,000 based on the final transaction price on March 7.

At present, if Qingshan Group does not intend to deliver the goods in kind, but closes the futures contract in the usual way, it has already lost 20,000-30,000 US dollars per ton, and the total floating loss of 200,000 tons of short positions is 4-6 billion US dollars.

If Qingshan Group's own capital is hard enough to complete the contract, then they are a joke. But when it comes to such great interests, foreign-funded enterprises are absolutely furious and make all possible preparations. At this time, it depends on whether domestic capitalists can unite and resist foreign manipulation until the dust settles.