Crude Prices Went Below Zero !
It is so hard to imagine a physical commodity, in fact an international essential commodity would go below zero pricing! That means it has become a thrash and wanted by nobody. This is a phenomena that is not seen before but actually has happened. Read on. On the 20 April, the Crude Futures trading in U.S. Chicago Mercantile Exchange went down to minus USD37 /barrel just one before the contract expired. This is the first time in mankind history that such a global commodity experienced a thrown-off by all traders and witnessed by the unbelievable audience. We are the audience of course! With this precedence set into Futures industry, will it happen again in future? We reckon it might happen again unless the Exchange set a new rule to halt all trading activity once the prices come to zero benchmark. When the May Futures contract traded at the negative region, it meant the global supply glut has been enlarging and the seller just want to pass the stock to next buy