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this post was submitted on 27 Mar 2024
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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
I know. I was just joshing and tossing fake facts around. ๐
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!
Also, Crude Barrels have a shelf life so you definitely wouldn't store them like that for any extended period of time.
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.
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.