Anyone else here trade the ICE Gasoil contract? I was wondering if there were any theories as to why over the last month or so the bid/ask size has gone from 5-10 lots to 30-60 lots on average? The actual daily volume is only up in line with the other ICE energy contracts but the size being quoted has increased dramatically. Its all outright in the front month and therefore implied into the back months. Anyone know why this is? Its not an increase in the number of people trading the crack as the size in the Brent contract would have increased as well. Is it being spread against anything else (exchange/OTC) or are there just bigger outright players being brave?
That was my first thought But there's no corresponding size in the Brent contract (or WTI - ICE or Nymex - for that matter) so I dont think so. If theyre offering the Gasoil why not bit crude in a similar amount? Unless the crude leg is being done OTC...... Also why not play the crack contract? Thats 1/1 with ridiculously wide spread so theyre not in there. Must admit my curiousity is piqued.......
I rarely trade gasoil on the screen but 50 x 50 is what I normally see for gasoil look-a-likes from my brokers.