Nymex, Icap to launch gas, crude oil daily settlement derivatives

The move will extend to new energy products the auction framework that investment bank Goldman Sachs has been applying in derivatives markets since 2002, says Nymex. The introduction of auctions on daily settlement derivatives follows the launches of weekly oil inventory and natural gas storage inventory auctions last year by Nymex and Icap.

As with the weekly inventory auctions, Nymex will clear and settle these OTC options, and Icap will carry out order entry. Nymex president James Newsome