A crack is a trading strategy that is used in energy futures to establish a refining margin. Downstream: Definition, Types, and Examples of Operations. Downstream operations are oil and gas functions that occur after the production phase to the point of sale.
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A crack is a trading strategy that is used in energy futures to establish a refining margin.
The crack spread — the theoretical refining margin — is executed by selling the refined products futures (i.e., gasoline or diesel) and buying crude oil futures ...
Crack spreads, which represent the price difference between products and crude oil, can be used to determine the relative value of various petroleum products ...
Crack spread refers to the pricing difference between a barrel of crude oil and its by-products, such as gasoline, heating oil, jet fuel, kerosene,
Like the Brent/WTI spread, the HO crack spread is very liquid as well as volatile and trendy - all positives for the trading community at all levels. In ...
A basic crack spread is the 1:1 crack spread which represents the refining profit margin, that is buying crude oil and selling the refined products (i.e. diesel ...
Jun 2, 2011 · Crack spreads are differences between wholesale petroleum product prices and crude oil prices. These spreads are often used to estimate ...
Nov 10, 2023 · The crack spread, representing the difference between wholesale petroleum product prices and crude oil prices, is a vital indicator of refining ...
Aug 24, 2021 · The Oil - Gasoline Crack spread is a unique intercommodity futures spread between the price of crude oil contracts and gasoline contracts.