Re:Oil plunges below zero for first time with May contract e...
by tempsy on Monday April 20, 2020 @01:54PM
(#22926455)
Yes
[ Parent
| on HN ]
Re:Oil plunges below zero for first time with May contract e...
by mcv on Monday April 20, 2020 @04:29PM
(#22928155)
People with just a paper office, used to deal in numbers rather than anything physical, and with no place to store physical goods, will now have to figure out where and how to store lots of oil?
Re:Oil plunges below zero for first time with May contract e...
by hermitdev on Monday April 20, 2020 @05:43PM
(#22928962)
Having worked in the finance industry my entire career, most (responsible) firms have means for dealing with taking physical delivery. Less responsible firms, not so much and may be royally screwed if they have to take delivery. I've heard anecdotally of a firm that had to take physical delivery of a shipment of coal. They didn't have plans in place, but because they had an address on a river, the coal arrived via barge. No, I don't recall the name of the firm, and yes, it's just an anecdote/hearsay.
Re:Oil plunges below zero for first time with May contract e...
by agurk on Monday April 20, 2020 @06:58PM
(#22929773)
That story, or at least a very similar one is documented on the the daily WTF:
https://thedailywtf.com/articles/Special-Delivery
I've no idea if it is true, but it makes for a funny story at least.
Re:Oil plunges below zero for first time with May contract e...
by Arcorann on Monday April 20, 2020 @06:52PM
(#22929731)
As told on the Daily WTF: https://thedailywtf.com/articles/special-delivery
Re:Oil plunges below zero for first time with May contract e...
by simonh on Monday April 20, 2020 @04:48PM
(#22928344)
They would if they didn’t offload the contracts somehow, hence the negative prices. They are paying to get rid of that obligation.
Re:Oil plunges below zero for first time with May contract e...
by riskneutral on Monday April 20, 2020 @04:58PM
(#22928469)
They already know how to store lots of oil. They can and do rent supertankers for example.