http://www.themanagementor.com/kunivers ... overs3.htm

<t>QuoteOriginally posted by: toddrossforward contracts are priced off the 3rd wednesday there are some complications.Why would the third wednesday of the month add any more difficulty to modeling the metals forward curve than the expiration schedules of Brent and WTI futures on those curves?Surely ...

<t>QuoteOriginally posted by: toddrossforward contracts are priced off the 3rd wednesday there are some complications to how an asian style option can be used for this. Any assitance would be greatly appreciated.But Asians options written on LME Base metal prices will average the spot cash contract ...

<t>With forward curves for freight the forward point is the expected average of that month. For instance the value on Imarex at the moment for TD3 April is the expected average across April. Maybe I am missing the point of your question. Whilst there is an increasing volume of speculative trade in F...

Engelhard announced a couple of months back that they could replace 1/3 of the platinum used in a catalytic converter with palladium - that certainly had an impact on the price.

<t>Maybe I am missing something - assuming today is the start of September and I have an option on April NYMEX WTI crude futures which are currently trading in the market at ~$65/barrel and the strike of the option is $50 if I exercise the option today and sell the futures I make $15 less the premiu...

<t>But how would one know how much more one knew than the other market participants and therefore how to quantify this additional knowledge?Also common sense suggests that people would only enter into a transaction if they felt they were at an advantage. Therefore some participants in this particula...

<t>QuoteOriginally posted by: Athletico> Surely the optimal strategy would be to sell the heavily in the money option rather than exercising it early? finding a bid at or above parity will be very difficult in any marketthat is indeed true, and whilst I think this is moving away from the spirit of t...

Surely the optimal strategy would be to sell the heavily in the money option rather than exercising it early?

much better put than my post!

<t>QuoteOriginally posted by: PaperCut"West Texas Intermediate" or that which comes from North Sea beds.Designations such as "intermediate" or "sweet" or "Light" are qualitative assignments of average molecular weight. These are likely to have fractions that have very high vapor pressures; kerosene,...

<t>I don't know whether this is relevant, but if you have an Athens logon you can probably get access to some of the practioners published papers. I remember that I had access to JStor (which seemed heavily slanted towards academic papers) but also Wiley and Reed Elsevier's catalogue of papers which...

<t>It is generally sensible to make sure that you are comparing time synchronized data. If you think about it would not make much sense to compare 9am numbers from the UK with 9am numbers from the US, far better to compare the US 9am numbers with 2pm numbers from the UK or something similar. As for ...

Apologises as I omitted some rather important parts to that sentence. It is never optimal to exercise an AMERICAN option on a future EARLY due to margining. That should clear it up a bit

It is never optimal to exercise an option on a future when it is exchange traded due to margining.