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BEIJING, March 12-- Chinese institutions are preparing for the launch of much-anticipated yuan-denominated crude oil futures, a move seen to give the country greater pricing power over commodities. Trading of the crude oil futures contracts will start at 9 a.m. on March 26 at the Shanghai International Energy Exchange,or INE, according to a statement of the organization Monday. The trading margins for the futures have been set at 7 percent of the contract value, the statement said. The upward and downward trading limits will be 5 percent, with the trading limits on the first trading day set at 10 percent of the benchmark prices. The Shanghai International Energy Exchange will release the benchmark prices one trading day before the launch of the futures. "All institutions concerned should get ready for the launch of the crude oil futures, strengthen risk prevention, and ensure stable operation of the market," said Shanghai International Energy Exchange in the statement. Futures companies are offering training to clients and helping companies better understand how the financial product can mitigate risks, Gu Jingtao, an analyst with Chinese investment bank BOCI, told the Economic Observer. "The launch of the oil futures will greatly improve the risk management capability of small and medium-sized firms," Gu said. Futures brokerages have been competing for clients while testing technical systems to ensure smooth trading, according to Jia Shuchang of Industrial Futures, the Economic Observer reported. | 
