About the crude futures visualization dealings
Posted by 9b | Filed under Crude oil price forward business
Let’s explain the crude futures visualization dealings a little. For instance, it is assumed that it starts dealings about the following conditions.
【 condition 】
･When crude oil is bought, it buys it by the market price.
･The unit price of a present crude oil price is assumed to be 50 dollars a barrel.
･It is assumed that it shows a loss when the unit price of the crude oil price becomes 60 dollars a barrel.
･The barrel used during year is assumed to be 100 barrels.
･It is assumed that the crude oil price is uptrend.
It buys it by 100 barrels in the futures-transactions market on the condition of saying so. It becomes dealings approval in commodity futures if paying in 5?10% of the actual thing because the deposit is paid as a mortgage though it is necessary to pay 5000 dollars in the spot market.
The crude oil bought ahead is sold off though it is time when it rises to the unit price 65 dollars a barrel. The profit for each balance of 1500 dollars comes to pay because the clearance price will be 6500 dollars. Next, because crude oil is bought by the current price in the spot market, it is necessary to pay 6500 dollars. However, it will only have to pay 5000 dollars actually because the profit of 1500 dollars was paid ahead, and it is possible to suppress it to the unit price 50 dollars per substance. When the unit price falls oppositely, a similar thing can be said.
It is a method of the use to evade the risk of the price fluctuation of the actual thing in commodity futures in this manner. As a result, the profit is able not only to be obtained but also to fix the profit, and can to stabilize management. Moreover, it has dealings over virtual by using the price fluctuation, and there is a transaction system called a speculative operation that obtains the profit in the forward business, too.
Tags: and condition, Crude oil price, forward business, unit price, virtual
It virtual has dealings over the forward business.
Posted by 9b | Filed under Crude oil price forward business
“Purchase dealings” and “Sales dealings” exist because the forward business is dealings.
It becomes dealings said the start from purchase, and the resale to the date of delivery decided beforehand , saying that “Purchase dealings” of the forward business.
It starts from sales, and it becomes dealings said the date of delivery decided beforehand buying back , saying that “Sales dealings”. It is possible to sell it in the forward business even if the actual thing commodity is not at hand though it is likely not to understand easily for a moment. It sells it by high price at this time. Dealings are ended by ..date of delivery.. buying it back. It buys it back by the low price at this time. Therefore, it is a translation that the difference is obtained as a profit.
Because dealings are possible even if there is no actual thing in the forward business, the possibility that the transaction value grows compared with real dealings is high. It is a translation called a high risk and a high return. The method to have dealings by such a price difference is called a speculation for differences. Moreover, you may adjust by it if there is not the cash when adjusting but an actual thing because it has dealings over most as it is virtual.
It is said that the forward business will twine as a factor that the crude oil price has soared recently. A lot of money is moved by the speculation purpose in recent years and it is used though it was made in an original forward business to say doing that avoids the price fluctuation. It is a thing said that this capital misappropriates, investment needs gather, and the crude oil price has soared.
In the forward business, it is called a spot transaction that it has dealings over the commodity with the actual thing, and calls the price when it has dealings over the actual thing of crude oil a spot price. The price that we make the usual becomes this spot price.
Tags: and sales, Crude oil price, forward business, purchase, virtual
