Barges 3.5 Fuel Oil Europe – Commodity
Contract for Difference
Spread Bet
A CFD is a financial derivative that allows traders to speculate on the price movement of an asset without owning it. The trader enters into a contract with a broker, agreeing to exchange the difference in the asset's price from the time the contract is opened to when it is closed.
Name & Trade Code
| Contract Name | Barges 3.5(100mt-$/mt) | |
| MT5 Code | Bgs3.5 | |
| Contract Classification | Commodity CFD | |
| Geographical Region | Europe |
Contract Specification
| Sector | Energy | |
| Product Group | Fuel Oil | |
| Tenor Period | Consecutive individual whole calendar months, e.g. Jun 25 | |
| Maximum Forward Tenor | Up to 18 consecutive forward Tenor Periods available | |
| Contract Size | 100 | |
| Contract Unit | mt | |
| Trading Price Quote | $/mt | |
| Price Digits | 2 | |
| Currency | USD | |
| Tick Value | 1 | |
| Tick Size | 0.01 | |
| Minimum Volume | 1 | |
| Volume Steps [Lots] | 0.01 | |
| Settlement | Arithmetic mean of Settlement Prices throughout expiry month | |
| Margins | Download a summary or detailed document with tiers. |
Expiry Trading Overview
| Contract Expiry Date | The last trading day of the expiring Tenor Period (i.e. 30 June 2025 for Jun 25 Tenor Period) | |
| Last Trading Day (for new open positions) | Five working days prior to the Contract Expiry Date for the Tenor Period (i.e. 23 June 2025 for Jun 25 Tenor Period) | |
| Last Trading Day (for closing position in that Tenor Period) | The Contract Expiry Date of the relevant Tenor Period |
Tenor Period Settlement Valuation Process
| Open Volume | The net open volume for the expiring Tenor Period | |
| Daily Settlement Value | Market-on-Close – The daily assessment settlement time, e.g. 4:30 pm for European contracts | |
| Daily Settlement Volume | Each day during Tenor Period, the remaining Open Volume reduces by the equivalent of 1/ (number of pricing days in the Tenor Period, including today if prior to Market-on-Close) and be settled at Daily Settlement Value | |
| Final Settlement Price | Arithmetic mean of Settlement Prices throughout expiry month |
The Barges 3.5% contract is a commodity CFD (Contract for Difference) in the Fuel Oil group that represents the outright price of Fuel Oil 3.5% FOB Rotterdam Barges.
Contract Purpose
This outright contract allows market participants to:
- Gain direct exposure to the price of Fuel Oil 3.5% FOB Rotterdam Barges
- Hedge against price fluctuations in the European fuel oil market
- Speculate on the future price direction of high-sulphur fuel oil
Market Significance
- Benchmark Status: Serves as a key reference for high-sulphur fuel oil pricing in Northwest Europe
- IMO 2020 Impact: Reflects the ongoing value of high-sulphur fuel oil in the post-IMO 2020 market environment
- Regional Indicator: Provides insights into supply and demand dynamics for high-sulphur fuel oil in the Rotterdam market
Trading Benefits
- Price Discovery: Offers a transparent mechanism for determining the price of Fuel Oil 3.5% FOB Rotterdam Barges
- Risk Management: Allows hedging against price volatility in the European fuel oil market
- Market Access: Provides exposure to one of Europe’s key fuel oil benchmarks
This contract is particularly valuable for refineries, shipping companies, trading houses, and financial institutions active in the European fuel oil market. It offers a tool for managing price risks and implementing trading strategies related to high-sulphur fuel oil in Rotterdam.
A spread bet is a form of wagering on the price movement of an asset, where the trader bets on whether the price will rise or fall. The profit or loss is determined by the difference between the opening and closing prices.
Name & Trade Code
| Contract Name | Barges 3.5($/0.01) | |
| MT5 Code | Bgs3.5.s | |
| Contract Classification | Commodity SB | |
| Geographical Region | Europe |
Contract Specification
| Sector | Energy | |
| Product Group | Fuel Oil | |
| Tenor Period | Consecutive individual whole calendar months, e.g. Jun 25 | |
| Maximum Forward Tenor | Up to 18 consecutive forward Tenor Periods available | |
| Contract Size | 100 | |
| Contract Unit | ||
| Trading Price Quote | $/mt | |
| Price Digits | 2 | |
| Currency | USD | |
| Tick Value | 1 | |
| Tick Size | 0.01 | |
| Minimum Volume | 1 | |
| Volume Steps [Lots] | 0.01 | |
| Settlement | Arithmetic mean of Settlement Prices throughout expiry month | |
| Margins | Download a summary or detailed document with tiers. |
Expiry Trading Overview
| Contract Expiry Date | The last trading day of the expiring Tenor Period (i.e. 30 June 2025 for Jun 25 Tenor Period) | |
| Last Trading Day (for new open positions) | Five working days prior to the Contract Expiry Date for the Tenor Period (i.e. 23 June 2025 for Jun 25 Tenor Period) | |
| Last Trading Day (for closing position in that Tenor Period) | The Contract Expiry Date of the relevant Tenor Period |
Tenor Period Settlement Valuation Process
| Open Volume | The net open volume for the expiring Tenor Period | |
| Daily Settlement Value | Market-on-Close – The daily assessment settlement time, e.g. 4:30 pm for European contracts | |
| Daily Settlement Volume | Each day during Tenor Period, the remaining Open Volume reduces by the equivalent of 1/ (number of pricing days in the Tenor Period, including today if prior to Market-on-Close) and be settled at Daily Settlement Value | |
| Final Settlement Price | Arithmetic mean of Settlement Prices throughout expiry month |
The Barges 3.5% contract is a commodity SB (Spread Bet) in the Fuel Oil group that represents the outright price of Fuel Oil 3.5% FOB Rotterdam Barges.
Contract Purpose
This outright contract allows market participants to:
- Gain direct exposure to the price of Fuel Oil 3.5% FOB Rotterdam Barges
- Hedge against price fluctuations in the European fuel oil market
- Speculate on the future price direction of high-sulphur fuel oil
Market Significance
- Benchmark Status: Serves as a key reference for high-sulphur fuel oil pricing in Northwest Europe
- IMO 2020 Impact: Reflects the ongoing value of high-sulphur fuel oil in the post-IMO 2020 market environment
- Regional Indicator: Provides insights into supply and demand dynamics for high-sulphur fuel oil in the Rotterdam market
Trading Benefits
- Price Discovery: Offers a transparent mechanism for determining the price of Fuel Oil 3.5% FOB Rotterdam Barges
- Risk Management: Allows hedging against price volatility in the European fuel oil market
- Market Access: Provides exposure to one of Europe’s key fuel oil benchmarks
This contract is particularly valuable for refineries, shipping companies, trading houses, and financial institutions active in the European fuel oil market. It offers a tool for managing price risks and implementing trading strategies related to high-sulphur fuel oil in Rotterdam.
