Interest on overnight positions, also known as extension fee and late payment fee, refers to the financing cost incurred by investors after opening positions, that is, the interest that investors need to pay for holding positions overnight, also known as warehouse interest, which is generally called storage fee. It's like you put some physical gold and silver in the bank's safe, and the bank charges you for safekeeping.

How to calculate the overnight interest of positions: For trading orders that are not opened on the opening day and hold positions until the next day, overnight interest will be generated. Buying up and buying down positions requires paying overnight interest according to the closing price of the day, the corresponding interest rate and the number of overnight days.

The calculation formula of overnight interest is: closing price of the day * contract unit * lots * interest rate *( 1/360)= overnight interest. Overnight rate 1.25% for the buy-up and open-position transaction, and overnight rate's 0.75% for the buy-down and open-position transaction. Overnight fee is the cost of not selling the position after one day.

When the interest of spot crude oil positions is settled on the same day (every Tuesday to Saturday at 4 am), all open contracts will be automatically transferred to the next day. For all open contracts transferred to the next day, customers need to pay inventory fees.