Water Begins Trading on Wall Street in the Futures Market for Fear of Shortages
Starting this week, water will be traded on the Wall Street commodities futures market, due to its scarcity. The price of the vital liquid will fluctuate just like oil, gold or wheat, CME Group reported.
The price of water in California has doubled in the last year, according to the Nasdaq Velez California Water Index . Experts assure that its arrival on the commodity market will allow better management of the future risk associated with this asset.
The US company CME Group will launch contracts related to California spot water , a market of 1.1 billion dollars. With the NQH2O ticker , the price of water futures in California was trading today at about $ 486.53 per acre-foot , which is equivalent to 1,233 cubic meters.