The difference between stocks at the beginning of the reporting period and stocks at the end of the reporting period. Note: A negative number indicates a decrease (i.e. a drawdown) in stocks and a positive number indicates an increase (i.e. a buildup) in stocks during the reporting period.
Any form or mixture of gases produced in refineries by distillation, cracking, reforming, and other processes. The principal constituents are methane, ethane, ethylene, normal butane, butylenes, propane, propylene, etc. Still gas is used as a refinery fuel and a petrochemical feedstock. The conversion factor is 6 million Btus per fuel oil equivalent barrel.
A classification of establishments by type of activity in which they are engaged: for the purpose of facilitating the collection, tabulation, presentation and analysis of data relating to establishments (e.g. SIC 421 Trucking & Courier Services, Except Air).
A trading situation where a lack of actual deliverable product exists. Traders who are short must buy back positions in a rapidly rising market.
In futures markets, applies to the difference between prices of futures contracts for different delivery months, or to the difference in prices for different commodities. Spread traders try to capitalize on likely fluctuations in these relationships, and initial spread margins are often considerably lower than for outright positions.
The current value of any product on a volume basis.
High volume (25,000 to 300,000 bbls) contractual agreements between oil companies dictating delivery of petroleum products or crude oil in the near future for an established sales price. Since this market reacts quickly, and is an alternative to wholesale sales, it provides a good indication of the direction of wholesale price trends. Also referred to as Cash Market.
Additional funds required to be on hand as a contract approaches its delivery date. When a NYMEX contract becomes the spot month (the first month on the board), margin requirements are increased automatically by the NYMEX. They increase again five days prior to the last trading day, with the intent of encouraging players to move out of the delivery month.
A deal for supply wherein the price is negotiated between the buyer and the seller, and the supply commitment varies.
To blend or mix two or more products together by adding one product to the other such as ethanol to gasoline in a cargo tank compartment or even a service station underground tank.