Publications: Notes at the Margin

Robust, Liquid Futures Differentiate 2015 from 1986 (August 10, 2015)

 

Oil market commentators are increasingly drawing comparisons between 1986 and 2015. Morgan Stanley analysts, for example, have written that this price collapse could be worse than the 1986 one. Shell CEO Ben van Beurden, in turn, warns that prices could remain low for a long time. These observations could prove correct, as could those of others who see further price declines. All these views, though, seem to ignore an important change in market structure that has occurred over the last twenty-nine years: the growth of a robust, liquid crude oil futures market: the growth of a robust, liquid crude oil futures market.

 

To request subscription information for Notes at the Margin, please Contact Us or send us an Information Request.