|
UNREFINED ENERGIES
In this section we cover crude oil and natural gas. Crude oil and natural gas are
both unrefined fossil fuels straight from the ground. Crude
oil is extracted from the ground with oil wells and sent to a refinery where the hydrocarbons are separated during distillation
and other chemical processes. Natural gas does not require refining in the sense crude oil does, but it does
require cleaning, due to the presence of other gases and liquids. The NYMEX crude oil and
natural gas futures markets stand alone in its reliable price transparency and market safeguards that protect all participants.
Trading is conducted as an open auction, price discovery is straightforward and exclusive of brokerage fees, price dissemination
is virtually instantaneous, and, at the end of the day, all positions are marked-to-market and obligations settled in cash.
There is no counterparty credit risk since the Exchange and its clearinghouse, which is composed of some of the most highly
regarded firms in the financial services industry, stands on the other side of every deal.
Click here to contact a licensed commodity broker to discuss market opportunities.
|
