On November 20, 2018, Beijing time, the price of WTI crude oil fell sharply, and the decline expanded to 6%, breaking a one-year low.Brent crude also fell nearly 5 percent to a three-month low.
Due to geopolitical instability and the fragile global economy, the oil market is entering an unprecedented period of uncertainty.The organization of the petroleum exporting countries is concerned about a production glut similar to the one that caused prices to plummet in 2014.In addition, rapid production growth in non-opec producers such as the us is likely to oversupply the market throughout 2019.In addition, rapid production growth in non-opec producers, such as the us, is likely to oversupply the market for the full year 2019, but despite OPEC's planned production cuts, concerns about a return of oversupply next year have led to a drop of more than 6 per cent in WTI crude.
The sharp fluctuations in oil prices, coupled with recent relative volatility in the stock market, and friction between the two large economies, have led to significant volatility in industrial futures markets, and rubber prices, which have been hovering near the bottom line, have been dealt another blow.
In addition, the rubber policy also appears in the certain movement may cause the market sentiment change.Director of futures supervision department of China securities regulatory commission attended the copper option listing ceremony and read out a congratulatory message from vice chairman of China securities regulatory commission.In greeting, the China securities regulatory commission vice chairman, said copper options listed after the securities and futures commission will be guided by market demand, continue to develop in line with the entity economy needs, market conditions have varieties of futures and options, promoting pulp, red jujube, ethylene glycol, 20, such as commodity futures and natural rubber, cotton, corn and other commodities listed options work, enrich the varieties of futures market system.
In short, there is no major change in the fundamentals of rubber at present. The mainstream logic is still that the increase in production capacity and the price risk caused by the decline in demand will stimulate the fall in prices.In trading, the contradiction between supply and demand is obvious, or cautious to do more.