NYMEX halts gasoline trading with futures off 8%, in order to expand price limits. Meanwhile,...

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nfantis Comments (78)
 
Go figure... gasoline dips the day after I fill my tank.
11 May 2011, 12:27 PM Reply Like

OptionManiac Comments (3064)
 
Gasbuddy sent me an e-mail saying gas prices will go up because of the flooding (refineries idle). So my investments go down while gas stays up. Can't win.
11 May 2011, 12:58 PM Reply Like

WMARKW Comments (8377)
 
Go figure....they didn't halt silver trading on the way down? Why the inconsistency?
11 May 2011, 01:25 PM Reply Like

okiepoor Comments (11)
 
believe it or not gas prices went up today....here in OK
11 May 2011, 07:25 PM Reply Like

OptionManiac Comments (3064)
 
Flooding.
12 May 2011, 08:53 AM Reply Like

buybuybear Comments (389)
 
Does anyone know why trading was halted? I sincerely can't understand why that was needed? Because it was trading -8%? What about people who were being short... their earnings potentials were being hurt...

Does it also stop trading at +8%?
11 May 2011, 08:00 PM Reply Like

nfantis Comments (78)
 
Many commodities have a limit down feature that limits how much they can drop in a single session. There's also a limit up, but I'm not sure if its the same range or not. From investopedia:

"The maximum amount by which the price of a commodity futures contract may decline in one trading day. Some markets close trading of contracts when the limit down is reached; others allow trading to resume if the price moves away from the day's limit. If there is a major event affecting the market's sentiment toward a particular commodity, it may take several trading days before the contract price fully reflects this change. On each trading day, the trading limit will be reached before the market's equilibrium contract price is met."
11 May 2011, 11:17 PM Reply Like