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This case examines the 2018 decision by the Shanghai International Energy Exchange (INE) to introduce a futures contract on a type of crude oil widely used in Asia, in the hope that it would not only facilitate price discovery but also become an Asian benchmark for crude oil prices and encourage the use of the renminbi or Chinese yuan in international commerce. Accordingly, the futures contract was denominated in renminbi; specified market participants could make or take delivery of crude oil in various ports in mainland China; and the INE crude oil futures market was open to foreign traders from the outset. The almost-immediate success of the INE crude oil futures contract was the first significant challenge to the dominance of Brent North Sea Crude and West Texas Intermediate crude oil futures contracts as benchmarks. Yet, five years later, the Shanghai crude oil futures contract price was still not the benchmark price for crude oil in Asia. What might be done to help achieve that objective? This case provides a vehicle for discussing spot and derivative energy markets, benchmarks, and government policy objectives. It also highlights the role of market microstructure in creating successful financial innovations. The case is designed for use at McIntire in an upper-level undergraduate course, "Financial Trading." It would also be suitable in an introductory finance course or a specialized financial markets and institutions course.

In October 2010, the recently appointed CEO of the Singapore Exchange (SGX) wanted the SGX to grow faster than organic growth alone would allow. The most logical acquisition target was the Australian Securities Exchange (ASX). Executives from the SGX and the ASX announced an agreement to merge. The two exchanges would remain separate legal entities for regulatory purposes but both would be owned by ASX?SGX Limited, a new holding company that the deal would establish. But why did the merger fail? This left executives at the SGX and other foreign securities exchanges pondering whether the conditions the Australian Treasurer specified for a merger could ever be met and, if so, would a foreign securities exchange really be allowed to acquire the ASX?