Energy commodity markets are essential to any developed industrialised economy. From fossil fuels, electricity to alternative forms of energy, the energy commodity markets affect every part of our lives.

Brent crude oil

Brent Crude oil is a specific type of light sweet crude oil. It is used for the production of petrol and middle distillates like marine gas, oil and diesel.

Crude oil accounts for 40% of the world's total energy needs. It is vital for the production of gasoline, jet fuel and plastics. The largest consumer of crude oil is the United States using almost 20 million barrels a day. China  is the second largest consumer of crude oil with 8 million barrels a day. One barrel of crude oil contains 42 gallons of oil.

Henry Hub Natural Gas

The Henry Hub which gives its name to the natural gas contracts on NYMEX is the main gas pipeline distribution hub for natural gas in Erath, Louisiana. It connects nine interstate and 4 intrastate pipe lines. 

The NYMEX:NG contract is used in conjunction with the NYMEX:NN Henry Hub last day financial future which is used as a hedging tool against market exposure.

Light Sweet Crude Oil

Light sweet crude oil is one of the most sort after types of petrolium. It is used for the production of gasoline, kerosene and diesel.

It is called sweet because of its low levels of sulphur, less than 0.42%. Higher levels of sulphur are designated sour, and it literally means the oil is sweet to taste, well sweeter than its sour heavy cousin. Early oil prospectors would check the quality of the oil by tasting it; needless to say the oil was not ingested. 

Heating Oil Futures

Heating oil is also called distilled or number two oil. It is derived from crude oil. Predominantly for domestic use, the production of heating oil is stepped up towards the end of summer and into autumn to meet the winter demand. It is traded throughout the year.

New York Harbor Rbob (Blendstock) Gasoline Future

RBOB Gasoline is basically unleaded petrol, one of the main byproducts of crude oil.

Gasoline is usually at its highest levels of production in April and May to meet the high summer demand for car fuel. Its lowest demand occures in December


Kerosene is produced from crude oil. Its main use is as jet engine fuel. It is sold in units of 50 Kiloliters. 

Kerosene is traded on the Tokyo Commodity Exchange and CME NYMEX.

The importance of energy commodities

Energy commodities like crude oil, natural gas and heating oil are extremely liquid and volatile trading instruments. They offer huge trading opportunities along with just as huge risks.

The main Energy commodities are:
Crude Oil
Natural Gas
Heating oil

Brent Crude Oil NYMEX

Light, Sweet Crude Oil NYMEX

Heating Oil NYMEX

Natural Gas NYMEX

Gasoline NYMEX

Chukyo Gasoline (day) TOCOM
Chukyo Gasoline (night) TOCOMN

Crude Oil (day) TOCOM
Crude Oil (night) TOCOMN

Gasoline (day) TOCOM
Gasoline (night) TOCOMN

Kerosene (day) TOCOM
Kerosene (night) TOCOMN

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