I don’t believe these are real prices. Tomorrow I won’t be surprised to see $20 WTI.
Who knows.
I don’t believe these are real prices. Tomorrow I won’t be surprised to see $20 WTI.
Who knows.
"The most merciful thing in the world, I think, is the inability of the human mind to correlate all its contents... some day the piecing together of dissociated knowledge will open up such terrifying vistas of reality, and of our frightful position therein, that we shall either go mad from the revelation or flee from the light into the peace and safety of a new Dark Age."
-H.P. Lovecraft
WTI at -12.50$, whats WCS looking like now? I can't find any live values.
Doesn't matter.This quote is hidden because you are ignoring this member. Show Quote
what site are you using BOEreport stopped at 0.01This quote is hidden because you are ignoring this member. Show Quote
Also my wife said she and her collegues arent too concerned because oil for June/July/August is all $25+, and when i pointed out that it will probably slide she just said well people are buying contracts at that price now......I have no idea why they wouldnt just hold off.
BloombergThis quote is hidden because you are ignoring this member. Show Quote
https://www.cmegroup.com/trading/ene...eet-crude.htmlThis quote is hidden because you are ignoring this member. Show Quote
Touched -$40 for a moment there.
IIRC lots of companies hedge their bets by buying some longer future contracts but then also some short term contracts. Right now all the players that still need to buy May contracts are getting fucked. Pretty sure that'll mean a quick shift to june contracts being scooped up now rather than waiting.This quote is hidden because you are ignoring this member. Show Quote
So. How do royalties work with negative par prices
Can I put physical barrels to the Ab government? Send a few trains and prepay my royalties for a few years?
Originally posted by Thales of Miletus
If you think I have been trying to present myself as intellectually superior, then you truly are a dimwit.
Originally posted by Toma
fact.This quote is hidden because you are ignoring this member. Show Quote
It would just reduce their royalty burden for the year. Pretty sure that 1% is the only rate the government will be collecting for a while
Time to brush up on my French and bail Alberta?
Cocoa $12,000 per ton.
So, can someone speculate a little for me. Did someone hold their future contracts too long and needed to dump them or did everybody do that? Or what. Is this going to end up like the financial crash with a bunch of bankers/traders who broke some laws getting some jail time or what. Someone give me some good thoughts on what went down. Or is it as simple as we are running out of storage and the economy isn't using much oil.
Why would anyone go to jail for losing a bunch of money speculating on oil futures?
Originally posted by Thales of Miletus
If you think I have been trying to present myself as intellectually superior, then you truly are a dimwit.
Originally posted by Toma
fact.This quote is hidden because you are ignoring this member. Show Quote
Futures contracts for commodities have an actual delivery commitment. You need to take the product if you have the contract. Normally people can sell the contract and roll the whole thing over to the next contract. But right now nobody is buying the expiring contracts (because the planet is fuckered), and so people who are used to rolling over the contracts cannot do so. Either they are rookies or forgot that this stuff actually exists in real life.This quote is hidden because you are ignoring this member. Show Quote
That's it? Just some rookies holding futures contracts until the last minute and needing out of them?This quote is hidden because you are ignoring this member. Show Quote
- - - Updated - - -
I don't understand this stuff enough to know. Just seems crazy that there would be enough big dollar future contracts to crater so much. But this is a crazy world right now.This quote is hidden because you are ignoring this member. Show Quote
Con tango.
Cocoa $12,000 per ton.
In "normal" times, even if you can't unload contracts there's usually ample storage available to rent until you can sell those barrels.
No storage is available right now, so shit gets weird.
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Quick google shows that particular contract was in the middle of Oklahoma pipeline or something, and closing out tomorrow. No storage anywhere nearby, no ports to load onto ships, nothing.
Originally posted by SEANBANERJEE
I have gone above and beyond what I should rightfully have to do to protect my good name
Cushing Oklahoma, yep. That's the spot.
Just like WCS is for Hardisty Alberta.
But there's lots of storage in Cushing. Roughly 91 million barrels worth. Just so happens that it's full these days.
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As shitty as this is, this is kinda, sorta, how markets work.
Oversupply leads to lowered prices, which leads to voluntary reductions in production, or forced reductions in production (ie bankruptcy).
Watch the movies BIG SHORT and MARGIN CALL. Very eye opening and easy for noobs like me.This quote is hidden because you are ignoring this member. Show Quote
I believe only 1 banker went to jail after the 09 debacle.