While in everyday life stability and predictability are in high demand , quite the opposite is true in a world of energy trading. At the times of relative stability energy traders are bored because moneymaking opportunities are scarce.
Polar Vortex definitely cheered them up with unusually large price swings in natural gas.
“We did have a particular strength in commodities given the volatility in the market with the weather,” CFO Ruth Porat told The Wall Street Journal. “Commodities tend to perform better in extreme weather.”
Now is even better. Current situation of confrontation between Russia, Ukraine and EU, which might impact lives of millions of people in Europe creating perfect opportunity for the energy traders to rip big benefits. Prices of natural gas went up significantly on a concern that Russia will cut the gas supply. Due to the recent events in Iraq oil market again became very volatile with prices hitting $115 for the barrel of oil to the sheer joy of energy traders. So when we consider crises in Iraq or Ukraine as destabilizing factors, traders love the opportunity that these instability factors present because that where real game starts.
Rada
There is a spelling error. I should have spelled “reap” instead of “rip”!