Mercatus Energy

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Hedging Fuel Price Risk With Spreads On Options

Given the roller coaster in the oil markets over the past month, during which crude oil futures have moved nearly $30/BBL from the high to the low and back, many large fuel consuming companies are searching for hedging strategies that will allow...

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Are You Hedging or Speculating As Oil Trades At An 18 Month Low?

Heading into the weekend, it appears that Brent crude oil may settle the day at below $90/BBL for the first time since December of 2010, while WTI...

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Crude Oil Hedging: Converting Swaps Into Synthetic Put Options

As a result of the recent decline in crude oil prices, we've received a couple of inquires from companies wanting to know how they can turn their...

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Upcoming Energy Risk Management Events & Recent Articles

If you haven't perused our website recently, you may have missed the following: May 23rd & 25th Mike Corley will be delivering presentations on base...

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Update on Transition to Lower Sulfur Heating Oil & Gasoil Futures

As we've previously discussed, the CME/NYMEX has decided to keep the existing heating oil futures contract, which was previously due to be...

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Is Now An Ideal Time to Hedge Fuel Prices?

It was only a few weeks ago that many analysts were calling for crude oil to continue to trend towards $150 per barrel. Today many are saying that...

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An Introduction to Airline Fuel Hedging Strategies - Swaps

As we've recently received inquires from several airlines who are looking to begin hedging their jet fuel price risk for the first time, we thought...

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Study Indicates Airlines Need to Improve Fuel Hedging Initiatives

If you follow our blog, you know we're energy hedging and risk management junkies. You're also familiar with our opinions on various energy hedging...

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Mercatus Energy Advisors Releases Airline Fuel Hedging Report

New Study Reveals Many Airlines Have Yet to Adopt Energy Hedging & Risk Management Best Practices A new study finds that nearly half of commercial...

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The Ultimate Airline Fuel Hedge: Buy A Refinery?

As has been well reported elsewhere, Delta Airlines is rumored to be in negotiations to buy ConocoPhillips' Trainer, Pennsylvania refinery in order...

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