Crude Oil - Interview With CME Group's Joseph Ria ~ market folly

Tuesday, July 14, 2009

Crude Oil - Interview With CME Group's Joseph Ria

The guys over at MarketClub have sat down and interviewed Joseph Ria of the CME Group regarding crude oil and energy. They aimed at putting out some educational and trading material regarding crude oil since it is such a hot topic & commodity these days. Here's a transcript of part of the first interview,

"Crude Oil & Energy Update - Interview with the CME Group's Joseph Ria

When you hear the news reporters talk about the price of
crude oil in the marketplace, they're generally talking about
WTI, which is West Texas Intermediate crude oil. It's a very
light, sweet crude oil and the highest grade that's out there.
Crude oil is based on and priced on the amount of sulfur that's
in the oil. It makes it easier or harder to refine base on the
amount of sulfur. WTI being the lightest and sweetest, is the
highest priced crude oil in the marketplace.

It is a benchmark delivered in Cushing, Oklahoma.

In benchmarks for crude oil and global pricing of crude oil, WTI
probably prices about 50% of the global pricing of crude oil.
Brent being basically the other pricing benchmark. There's two
out there, Brent being a little of a mixture of three different
grades of crude oil; BF&O, Brent 40 and Ossenberg. They're
all produced in the North Sea.


That's the first part of the work transcribed and you can view the rest of the stream here. Keep in mind you'll have to do a free sign-up with them to see the material. We like to focus on educational content every once in a while seeing how we have a diverse reader base on the site. And, after all, everyone is a beginner at some point and you can never cease learning. You can check out their video series here.

We also wanted to point out that we have numerous other resources on the topic of crude oil. Some of the most popular articles on Market Folly in the past have been 2 crude oil related pieces by author Tradefast. Firstly, he examined How Contango Affects Crude Oil ETFs. Then, in a follow-up piece, he also examined How to Play Crude Oil via ETFs & ETNs in an article that examines the various crude oil investment vehicles. We highly recommend these pieces as they have received much praise due to their in-depth analytical nature.

Also, for those of you more concerned about where crude oil is heading in the near-term, check out the recent crude oil technical analysis video.

blog comments powered by Disqus