Playinforkeeps, If you short Nymex WTI and buy Brent youâre really just playing a spread and your losses are limited because of the correlation...
mtzianos. There is no doubt you see what others are seeing and trading. You might consider buying a spread option(s) on the Brent/WTI spread, if...
cakulev, There are a couple of costs one would/will incur when storing physical crude. 1) Purchasing the crude, 2) Transportation through the...
mtzianos, The people building the reserves are not âtraditionalâ energy firms â mostly hedge funds and larger institutions (JP Morgan being...
mtzianos, To touch on your topic, I see two reasons for the discrepancies between the cash market and the derivatives market, 1) The...
aPismoClam, Take a look at Orc Software's Orc Futures.
traderjb, With regard to weather derivatives, a trader with a position in natural gas and/or home heating oil can hedge warmer weather by taking...
Nononsense, You are better off having separate contracts for each area â Iâll refer to natural gas as an example. If the northeast is in a...
There is a big disparity between hedging crude oil (WTI), hedging using the crack spread or hedging using jet fuel. It also depends what market...
neilcharlton, You're right, you'll need a good broker, but there are ways of getting access to exchanges without having access to the direct...
fortunatti, Don't really write here often, but... Check out coffee in the US and middle-east. You'll notice a disconnect there too.
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