Trade CFDs with CPT Markets UK
Often referred to as “black gold”, oil is one of the world’s most valuable resource. Even with the rise in the new “renewable” markets, crude oil is still integral to the global economy. This, combined with the fact that oil is a finite resource makes it a market with plenty of volatility, as past performance will testify.
Brent crude and West Texas Intermediate (WTI) are the benchmarks on the market. Brent crude refers to oil drilled out of the North Sea, whilst WTI refers to oil produced in North America. Although WTI is of the higher quality, shipping and storage costs play their part in the pricing of the contracts
All energy futures contracts, Brent WTI and Natural Gas, have a fixed expiry date at some point in the future
Futures contracts offer speculators a higher risk/return investment vehicle because of the amount of leverage involved with these commodities.