Explore another way to benefit from the deep liquidity of our benchmark Energy futures by trading calendar spreads on intercommodity spreads with just one click. These four-legged combination strategies are known as Energy box spreads.
Energy box spreads offer greater speed, certainty and ease of trading when managing energy exposure in rapidly moving markets like crude oil.
Key features of Energy box spreads
One-click execution
No manual entry needed: Enter and execute four-legged trades with one click using the CME Direct trading front-end, loaded with charting, analytics and integrated tools.
Reduced leg risk
Simultaneously trading all four legs of the spread at once minimizes risk of execution delays or price changes between individual legs.
Trade Energy boxes with ease on CME Direct
Experience trading Energy box spreads on a trading platform tailor-made for CME Group markets by accessing these spreads on CME Direct.
One-click execution
4-legged combination strategy strategy reduces leg risk
Trade Energy Box Spreads
The examples below show the Jun/Dec box spreads only. Other contract months are available.
Light Sweet Crude (CL) / Brent (BZ) Spread
NY Harbor ULSD (HO) / Light Sweet Crude (CL) Crack Spread
Six intercommodity box spreads to trade
|
Spreads |
Commodity codes |
|---|---|
|
Light Sweet Crude Oil futures / Brent Last Day Financial futures |
|
|
NY Harbor ULSD / Light Sweet Crude Oil futures |
|
|
NY Harbor ULSD / Brent Last Day Financial futures |
|
|
RBOB Gasoline futures / Light Sweet Crude Oil futures |
|
|
RBOB Gasoline futures / Brent Last Day Financial futures |
|
|
NY Harbor ULSD / RBOB Gasoline futures |
How it works
Explore how Energy box spreads work and how to place these trades on CME Direct, which has built-in analytics and charting from Vertical Trader and TrendSpider.
Learn more about Energy spreads
Take a deeper dive into how crack spreads and refined products are traded and how market fundamentals can impact spread trades.
Quick links
All examples in this report are hypothetical interpretations of situations and are used for explanation purposes only. The views in this report reflect solely those of the author and not necessarily those of CME Group or its affiliated institutions. This report and the information herein should not be considered investment advice or the results of actual market experience.
Contact an Energy expert
Connect with one of our Energy experts to discuss how box spreads can enhance your energy strategies and how to get started.
