Market risk
European gas hubs stand to benefit from crisis in Ukraine
Escalating tensions between Russia and the West over Ukraine have taken energy market participants by surprise. With the potential for tougher sanctions, industry observers believe one outcome could be an acceleration of Europe's shift away from oil…
CFTC eases Dodd-Frank burden on energy companies
In the wake of industry criticism, the US Commodity Futures Trading Commission is taking steps to relax position limits and accommodate the concerns of public utilities in its implementation of the Dodd-Frank Act
CFTC accord bolsters Ferc drive to catch manipulation
Memorandum of Understanding with US Commodity Futures Trading Commission on information sharing has been "extremely useful" for energy regulator, says Federal Energy Regulatory Commission's deputy director of surveillance
No easy way to hedge Bakken crude oil, say energy firms
Despite surging production in the Bakken shale region in North Dakota and Montana, trading remains fragmented and the market has yet to coalesce around one pricing point for crude oil production, making hedging difficult
Energy traders seek flexibility in CFTC position limits
Bona fide hedging definition and complexity of position limits worry panellists speaking at Energy Risk Summit USA
Fuel hedgers bemoan bank retrenchment from commodities
Delta Air Lines and World Fuel Services describe impact of Wall Street retreat from commodity markets at Energy Risk Summit USA
Credit fears hold back US solar securitisation deals
In a major breakthrough for renewable energy finance, California-based SolarCity has issued the first securities backed by distributed solar assets. But many hurdles remain before solar securitisation can truly take off, Alexander Osipovich finds
Quant energy models need greater emphasis on fundamentals
Boom in shale oil and gas extraction, and growth in renewables underline importance of reflecting fundamental factors in quant models, argue experts
Looking back: Nymex moves into ‘classy’ new headquarters
CME Group’s Nymex trading floor is now sparsely populated, but back in 1997, the exchange was in urgent need of additional capacity, as Energy Risk reported in May that year
TXU bankruptcy holds lessons for risk managers
The bankruptcy of Energy Future Holdings – formerly known as TXU – should act as a warning to risk managers, who must be alert to excessive self-confidence and a failure to deal with unpleasant or inconvenient facts, argues Vincent Kaminski
Bank-led commodity decorrelation theory rejected by analysts
Unctad economists' argument that bank withdrawals are loosening correlation between commodities and equities "doesn’t make any sense", say analysts
JP Morgan unveils commodities succession plan
John Anderson and Michael Camacho to succeed commodities chief Blythe Masters amid sale of physical business to Mercuria
Trafigura paper reignites debate on systemic risk
Commodity trading houses "are not too big to fail" argues white paper published by Trafigura, attracting mixed views from market observers
Derivatives trading rises in North American regional crudes
As North American crude oil production surges, liquid financial markets are developing around grades such as Louisiana Light Sweet, Western Canadian Select, Mars and Midland, changing the behaviour of both physical hedgers and financial traders…
Carbon emissions trading spreads across the globe
Traders’ enthusiasm for the European Union Emissions Trading System has slumped during recent years. But at the same time, there have been a variety of significant developments in carbon markets elsewhere around the globe. Gillian Carr rounds up some of…
EU ETS decision leaves airlines playing cameo role
Airlines set to remain on the fringes of the EU ETS until at least 2016, disappointing environmentalists and market observers hoping for better liquidity
Banks counter Fed worries on physical commodities
Goldman Sachs and Morgan Stanley stress public benefits of allowing banks to trade physical commodities, while downplaying fears of catastrophic risk
Energy market has bright future, despite bad news
Energy risk management has come a long way and is serving up unparalleled opportunities, despite poor liquidity and a retreat by banks
Citi hires Morgan Stanley oil veteran Randall O’Connor
Head of strategic transactions quits to join Citi as Morgan Stanley pulls back from physical oil trading
Senior commodities salesman quits JP Morgan
David Samuels exits JP Morgan amid commodities shake-up and sale of physical business to Mercuria
OIES trying to fuel debate on energy markets, says Fattouh
Unlike other research houses, the Oxford Institute for Energy Studies does not toe a single editorial line and occasionally publishes opposing views on the same topic. But far from being a drawback, that is what makes the institute great, argues…
Banks tussle to join next generation of commodity dealers
Facing low volatility, a lack of trading opportunities and compliance headaches, major global investment banks are pulling back from commodities. But at the same time, a number of smaller and regional players are actively seeking to increase their…
CFTC upping enforcement effort, warns former chief
David Meister, former director of enforcement at the US Commodity Futures Trading Commission, speaks exclusively to Alexander Osipovich about market manipulation, high-frequency trading and the value of Dodd-Frank reporting rules for financial watchdogs
Dynegy founder Watson recalls dawn of deregulation
Dynegy founder Chuck Watson talks to Alexander Osipovich about the dawn of deregulation, the fall of Enron and what it takes to be a successful entrepreneur