Scope Prime, the institutional arm of Rostro Group, has launched 24/7 liquidity for CFDs on Brent and WTI, expanding the 24-hour trading offering beyond precious metals.
After putting it up CFDs on gold and silver were available 24/7 earlier this yearScope Prime has expanded its continuous oil trading offerings. The company said the move makes it one of the first major brokerages to provide continuous liquidity for OTC CFDs for oil markets.
Oil trading exceeds market hours
The product is intended for institutional clients, including brokers and funds that hold energy-related positions outside trading hours on traditional exchanges.
The launch comes as ongoing oil trading gains momentum across the industry. Earlier this month, the U.S. Commodity Futures Trading Commission temporarily halted CME Group’s proposed 24/7 trading of a new 10-barrel WTI futures contract pending further regulatory review, although… exchange It has already introduced 24/7 gold futures contracts.
At the same time, many OTC trading venues and cryptocurrency trading sites have expanded access to oil-related products on weekends and around the clock, reflecting growing demand for hedging tools outside traditional market hours.
Daniel Lawrence, CEO of Scope Prime, said demand for continuous trading had increased following the launch of the company’s precious metals products.
“Gold has proven that demand in ever-present markets is real,” Lawrence said. He added that the company then chose oil because “the market needs are more acute.”
Oil traders seek protection from risks at the weekend
According to Scope Prime, events that affect oil prices, including OPEC+ production decisions, sanctions announcements and infrastructure disruptions, often occur after markets close on Friday and before they reopen on Sunday. During that period, companies with energy exposure may not be able to hedge their positions, increasing the risk of price gaps when trading resumes.
Brokers may also face margin shortages, the company said Negative balance Events if prices move sharply over the weekend while client positions remain open.
This article was written by Tariq Sikdar at www.financemagnates.com.
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