• Possibly linux
    link
    fedilink
    English
    arrow-up
    6
    arrow-down
    1
    ·
    edit-2
    9 months ago

    Actually a oil future is basically a promise to make oil for a certain price. There are also are vegetable futures

    That means the oil wasn’t produced yet

      • milicent_bystandr@lemm.ee
        link
        fedilink
        arrow-up
        1
        ·
        9 months ago

        But I do remember a story (on daily wtf) where a lady bought coal futures and somehow forgot or didn’t manage to sell, and a coal barge turned up in the river behind her office!

    • FiniteBanjo@lemmy.today
      link
      fedilink
      arrow-up
      1
      arrow-down
      1
      ·
      9 months ago

      Also, Crude Barrels have a shelf life so you definitely wouldn’t store them like that for any extended period of time.

      • Possibly linux
        link
        fedilink
        English
        arrow-up
        1
        ·
        9 months ago

        A future means that they will be created at some point in the future. Basically its an agreement to buy for a certain price in the future regardless of what the markets are doing.

        • FiniteBanjo@lemmy.today
          link
          fedilink
          arrow-up
          1
          arrow-down
          1
          ·
          9 months ago

          Yes you said exactly that in the comment I replied to, I never argued against it I was just adding onto it. We both were talking about how unrealistic the comment further above yours was.