Open interest on ICE low sulfur gasoil futures hits record 1
- Source: chemnet
interest on ICE low sulfur gasoil futures hit 1 million contracts
Tuesday, the highest level seen since the 10 ppm contract began
trading in June 2014, Intercontinental Exchange said late Wednesday.
record reflects an expanding diesel market and demonstrates a strong
growth in liquidity as market participants rely on ICE low sulfur
gasoil to hedge exposure to diesel prices," ICE said in a statement.
in Europe have seen a rally over recent months, with a sustained
period of backwardation at the prompt end of ICE low sulfur gasoil
futures that began August 28.
front-month, now October, contract reached a two-year high Monday of
$551.50/mt amid this peak in open interest.
managed money long positions, an indication of bullish sentiment, have
also increased to record highs, according to the ICE Commitment of
September 19, the long position in the Managed Money category hit
181,634, the largest since the 10 ppm contract started trading.
percentage of the open interest represented by money managers also hit
its highest level at 19.3% in the week ending September 12, according
to the data.
then, in the week to September 19, managed money increased its long
position, but represented a smaller portion of the total open interest
as the percentage of longs in the Producer/Merchant/Processor/User
category increased by a larger proportion.