Futures
How Onyx came from nowhere to conquer oil swaps
In just four years, market-maker has become the largest provider of liquidity in energy derivatives
Nasdaq energy exchange to get new CEO
Sales head Rick Beaman to take over upstart US futures exchange
Newcomer of the year: Nodal Clear
Power exchange’s new clearing house boasts plenty of ‘skin in the game’
CFTC’s Giancarlo backs phased approach to position limits
The CFTC should implement speculative position limits for the spot month first, before imposing non-spot-month limits, says commissioner Chris Giancarlo
US propane retailer hedges to offer customers stable prices
Keeping Michigan residents warm for a reasonable price is the central mission of Grand Rapids-based propane and fuels retailer Crystal Flash. But it couldn't be done without hedging and prudent risk management
Exchange of the year: APX
Exchange has responded well to the evolving European power market and changes in the products demanded by its members
Quant ideas: Building a better LNG forward curve
A robust suite of liquefied natural gas (LNG) forward curves is an important prerequisite for the proper valuation and risk measurement of LNG portfolios. This article provides an overview of effective methods for constructing long-term LNG forward price…
Cutting edge: Kriging smooth energy futures curves
This paper applies the method of kriging from geostatistics to extract smooth curves from energy futures prices. How the method can interpolate market prices is demonstrated, both for contracts with fixed delivery times and for delivery over a period,…
Former CME Group energy head Morsches to leave
Gary Morsches, the New York-based former head of energy at CME Group, is to leave in early 2015, following the appointment of Martin Fraenkel as global head of energy
Study casts doubt on mandatory futures insurance
Mandatory insurance for assets held by futures brokers would be extremely costly, concludes industry-backed report
CFTC backs down on FCM residual interest rule
CFTC softens post-MF Global reforms to rules on segregated customer funds held by futures brokers
Ice bows to pressure on Brent contract changes
Exchange delays plan to shift expiry calendar for Brent crude oil futures and options after firms complain they need more time to prepare
Commodity hedgers alarmed by CFTC margin proposals
Margin rules proposed after the collapse of MF Global could dramatically raise the cost of hedging, complain market participants
CFTC's Chilton blasts exchanges on block thresholds
Commissioner says lowering futures block trade thresholds skirts the intent of Dodd-Frank
Low Brent creates window of opportunity for hedgers, say analysts
Brent crude oil offers a window for airlines and refiners to lock in prices, but opportunity won’t last forever, say analysts
Cutting edge: Minimising risk when hedging crude oil options
In this paper, Christian-Oliver Ewald, Roy Nawar and Tak Kuen Siu study the performance of locally risk-minimising hedging strategies in the context of futures and options written on crude oil. In contradiction to prior research, the authors show it is…
CFTC’s Chilton: lessons learnt from MF Global
MF Global “new poster child for the need for thoughtful regulation" that must be "proactive, nimble, quick", says CFTC’s Chilton
Regulator strengthens enforcement authority
CFTC finalises new Dodd-Frank anti-manipulation rule but energy experts continue to question its value
Algorithmic trading in energy
Algorithmic trading has made slow progress in energy markets. Ned Molloy looks at the reasons for the limited uptake and at the market’s prospects
Time runs out for position limits comments
CFTC’s latest position limits plan attracts thousands of comments; opinion deeply divided; new commissioner to affect final vote