1, low bid-ask spread: Due to active trading, the bid-ask spread of crude oil futures can be as low as 1 USD.
2. Small-batch trading: Futures trading provides the possibility for small-batch trading (multiple of 65,438+0,000 barrels), while the quantity standard in the spot market is higher.
3. Flexible trading time: The trading time of crude oil futures is nearly 24 hours, making it more convenient and flexible for investors to invest and trade.
4. Flexibility: By providing futures contracts corresponding to the spot market, the oil industry can use futures cash and basis trading to lock prices and arrange production, thus better controlling the time of buying and selling commodities.
5. Efficient and transparent: Robust trading system and settlement system enable customers to keep abreast of market changes. Real-time prices can be obtained through major data providers. Therefore, all participants can know the price situation in real time when trading.
6. Highly leveraged trading: Because futures contracts are traded in the form of margin, and the margin only accounts for a small part of the total contract value, this low margin and high leverage feature makes trading and hedging more capital efficient.