Commodity derivatives
Banks welcome FCA focus on commodity trading houses
UK regulator right to question risk posed by commodity trading houses, bankers argue
Coal derivatives market fired up by new participants
Commodity traders and physical producers move into coal derivatives as major banks retreat
Fed probes catastrophic risks in bank physical commodity trading
The US Federal Reserve has moved to tighten the rules on physical commodity trading by banks, citing fears they might suffer huge losses as a result of an environmental disaster. How valid are such concerns and what steps is the Fed likely to take?…
Emir reporting deadline causes alarm among commodity traders
Commodity derivatives end-users hit hard by Emir reporting rules, say industry sources, especially smaller firms
Risk & Energy Risk Commodity Rankings 2014: Energy
Let's (not) get physical
Risk & Energy Risk Commodity Rankings 2014 – energy
The past 12 months proved tough for energy dealers, with low volatility, poor liquidity and sluggish levels of client activity. Given this, some banks decided to scale back their commitment to the market – a trend that is reflected in this year’s results…
SMX purchase gives Ice two-year Asia advantage over rivals
Atlanta-based derivatives exchange Ice's decision to scoop up SMX gives the firm on-the-ground presence for clearing and trading in Asia
Non-bank commodity traders seen as benefiting from Volcker rule
End-users will hedge more with firms such as BP, Shell and Vitol as banks face ban on prop trading, say market participants
Sovereign hedging picks up as developing countries end fuel subsidies
A push to eliminate fuel subsidies across much of Africa, the Middle East and Asia is raising interest in the use of commodity hedging by governments as a way of containing social unrest. But it remains a challenge to get sovereign commodity hedging…
Sovereigns look to hedge fuel imports after Morocco deal
More energy importing countries are in talks about hedging fuel purchases after Morocco’s sovereign hedging deal, say bankers
Energy Risk Europe: Commodity derivatives rules flawed, says SEB’s Iwarson
Derivatives regulation will impede attempts by banks to compete and do lasting damage to European market, says founder of SEB’s commodity business
Banks’ physical commodity trading comes under scrutiny
Amid a review of a 2003 determination by the Federal Reserve, the involvement of US banks in physical commodities has come under fire from regulators, politicians and the media. Could they really be forced to exit physical trading? Alexander Osipovich…
Energy firms find Emir thresholds too close for comfort
The European Market Infrastructure Regulation will force non-financial counterparties to clear trades in over-the-counter derivatives once they reach a set of notional thresholds. And despite their original expectations, many energy companies could be…
Commodity derivatives regulation gathers pace outside EU and US
Although much of the recent focus has been on rules in the European Union and the US, other jurisdictions across the globe are also weighing changes to the way they regulate over-the-counter commodity derivatives. In some cases, these could have…
Energy Risk Glossary 2013
Introduction
Asian refinery activity boosts oil derivatives trading
Refined tastes
Financial transaction tax could raise energy company hedging costs
FTT will increase hedging costs for energy companies and deter them from trading with financial counterparties, firms say
Bank commodity VAR remains muted in Q4
Bank commodity value-at-risk remains muted in Q4
Applied risk management series: OTC commodity swaps valuation, hedging and trading
OTC commodity swaps valuation, hedging and trading
A changing landscape in commodity derivatives
A changing landscape
Asia steel derivatives market struggling to compete with iron ore
Steeled for the fight
US firms returning to iron ore derivatives after SGX and CFTC clear regulatory obstacles
The CFTC’s no-action relief letter issued late last year and SGX’s upcoming iron ore futures contract have ended uncertainty and brought back hesitant market participants
Cutting edge: Jamshidian decomposition for pricing European energy commodity swaptions
Cutting edge: Jamshidian decomposition for pricing European energy commodity swaptions