No Cerveza... No Trabajo
Join Date: Jun 2002
Location: Where's my beer?
Non-issue. The Saudis are switching from the Platts physical index to the Argus physical index. Both trade at differentials to the WTI futures price making the WTI futures price the underlying item.
Saudis are still selling oil in dollars. Their concern was with the build up in inventories at Cushings made it so WTI wasn't reflective of world oil prices.
There is a huge different between the physical quote price and the contract (futures) quote price.
NYMEX ain't going anywhere and neither is the WTI futures contract.
My 401K is now a 400K (was 301K)