Commodity markets
RiskNews review
The leading stories from RiskNews
RiskNews review
The leading stories from RiskNews. For breaking news on derivatives and risk management, see www.RiskNews.net
Taking stock of SSFs
Single-stock futures
Optimism is clear in spite of war threat
The crisis in the Middle East is creating a bull market for oil, energy and gold
Learning the lessons
Risk’s quarterly round-up of corporate risk revelations shows that increasing shareholder and regulator expectations in the wake of US accounting scandals are having some effect on corporate disclosure, but companies still complain about losses from…
OTC power market down by 60% as firms switch to regulated markets
There has been a sharp decline in the number of over-the-counter gas and power contracts since the demise of Houston-based energy trader Enron. Firms initiating power trades are increasingly conducting them via exchanges or through their clearing…
Re-energising Nymex
In his first year as president of Nymex, Bo Collins has launched a series of ground-breaking product initiatives. Now he’s mulling credit mitigation tools for the besieged energy trading industry
Waiting for a boom
Weather derivatives
Clearing the obstacles
Credit quality is essential to every energy firm’s success, as recent problems at Aquila and Dynegy attest. Couple this with the post-Enron threat of increased regulation for OTC energy derivatives and it is clear that the energy trading market needs…
A two-factor mean-reverting model
Commodity markets exhibit multi-factor behaviour as well as mean reversion. Building upon their previous paper, David Beaglehole and Alain Chebanier conclude the current Masterclass series by developing a two-factor mean-reverting model for crude oil…
Q1 scapegoats: energy and weather
Risk’s second quarterly round-up of corporate risk disclosures provides some evidence that companies are becoming more forthcoming. But losses on hedgeable exposures, especially energy and weather, continued to plague many
NAB offers soft commodity hedging in Australia
National Australia Bank (NAB) has launched a range of soft commodity hedging products to cater for the country's large agricultural sector.
Mean-reverting smiles
Commodity markets such as crude oil exhibit mean reversion as well as option smiles. David Beaglehole and Alain Chebanier meet this challenge, constructing a model suitable for pricing exotic options in these markets
Trading commodities and correlation
Dealers are devising commodity derivatives products to attract new investors desperate for an alternative to the poorly performing financial markets
Gold hedging falls 4.5% in 2001, says study
Gold hedging fell 4.5% last year, as producers saw little premium from selling gold forward due in part to the low interest rate environment.
Mean-reverting smiles
Commodity markets such as crude oil exhibit mean reversion as well as option smiles. The authors construct a model suitable for pricing exotic options in these markets
CFTC reorganises to improve energy derivatives oversight
The Commodity Futures Trading Commission (CFTC) plans to restructure to allow more effective implementation of the Commodity Futures Modernization Act of 2000 that deregulated US futures and derivatives markets.
CFTC makes amendments to CFMA 2000
The Commodity Futures Trading Commission (CFTC) has released the final rules relating to the trading of equity futures products in the United States. These rules implement provisions of the Commodity Futures Modernisation Act of 2000 (CFMA) that lift the…
Industry Officials Call On Congress To Reduce CFTC's Powers
METHODS & REGULATIONS
Cantor Clashes With CBOT Over Automated Futures Exchange Plan
METHODS & REGULATIONS
SEC And CFTC Crack Down On Internet-Based Financial Fraud
METHODS & REGULATIONS
Comex Staff 'Spotted Copper Discrepancies'
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