EUR/USD 1.10628
0.099%
Gold 3109.89
-0.139%
Oil 66.213
-0.137%
USD/JPY 146.082
0.012%
GBP/USD 1.30999
0.006%
GBP/JPY 191.367
0.035%
Browse More
  • English
  • 简体中文
  • 繁體中文
  • Tiếng Việt
  • ไทย
  • Indonesia
Subscribe
Real-time News
On April 4, local time on April 3, U.S. Secretary of Health and Human Services Robert Kennedy Jr. said that about 20% of the layoffs in the Department of Government Efficiency were wrong and needed to be corrected. The U.S. Department of Health and Human Services laid off about 10,000 people on the 1st. Kennedy said that people who should not have been laid off were laid off, and the department is restoring their positions. Kennedy said that canceling the entire lead poisoning prevention and monitoring department of the Centers for Disease Control and Prevention was one of the mistakes. At present, it is unclear what other projects Kennedy may plan to restore.Bank of Japan Governor Kazuo Ueda: Will consider the impact of food costs on consumers.On April 4, local time on the 3rd, the automobile company Stellantis said that due to the impact of the US import automobile tariff policy, the company decided to lay off 900 employees in its five US factories and suspend production operations at two assembly plants in Canada and Mexico. Antonio Filosa, Chief Operating Officer of Stellantis Americas, said that the US factories that were laid off were powertrain and stamping parts factories, which produced spare parts for two assembly plants in Canada and Mexico. According to the plan, the assembly plant in Canada will stop production for two weeks, and the assembly plant in Toluca, Mexico will suspend production throughout April. Filosa said the company is "continuing to evaluate the medium- and long-term impact of tariffs on operations."Bank of Japan Governor Kazuo Ueda: Non-weather factors may push up food prices.Bank of Japan Governor Kazuo Ueda: Price changes in goods frequently purchased by households may affect consumer sentiment and the underlying inflation rate.

Introduction of Oil

LEO

Oct 25, 2021 13:27

Introduction of Oil 


Oil is one of the most actively traded commodities in the world，it also knows as 'petroleum or crude oil' or more popularly known as 'Black Gold' in the modern world. Generally speaking, price fluctuation of crude oil is closely related to political events and the economy. 


The crude oil market is significantly larger than that for any other commodity, both in terms of physical production and financial market activity.


The main crude oil trading contracts in the world are West Texas Intermediate (WTI) futures, Brent Crude futures, and Dubai Crude futures.


WTI futures contracts are traded on the New York Mercantile Exchange (NYMEX), which is owned by the Chicago Mercantile Group (CME). WTI futures contracts are deliverable in Cushing, Oklahoma. Cushing is a transshipment point with intersecting pipelines and storage facilities with easy access to refiners and suppliers.


Brent Crude futures contracts are traded on the Intercontinental Exchange (ICE) in London.



Dubai Crude is a medium sour crude oil extracted from Dubai. Dubai Crude futures contracts Singapore Exchange.


Other types of petroleum futures include heating oil, fuel oil, gasoline, light diesel, etc.


Many factors affect crude oil prices, such as crude oil supply and demand, political factors, the dollar index, and other energy trends.


There are three main ways of speculating on oil price movement: futures and options, CFD trading, or investing via equities and ETFs.


Buy futures and options


To trade futures and options, investors need to use the right exchange for the oil benchmark you wish to trade. Most exchanges have criteria for who is allowed trade on them, so professionals undertake the majority of futures speculation instead of individuals. If you want to trade options, you’ll need an options broker.


Trade via CFDs

CFDs enable investors to trade on the changing prices of futures and options without buying and selling the contracts themselves. And instead of trading on a commodities exchange, investors create an account with a leveraged provider. 


Oil investment

Instead of trading individual markets, you can get exposure to oil via the shares of oil companies and oil exchange-traded funds (ETFs). The prices of oil companies are heavily influenced by the price of oil, and can sometimes offer good value compared to trading oil itself. Investors can use ETFs to invest in oil benchmarks or a basket of oil stocks.


Suggestion