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Power demand, prices soar with temperatures

by L.M. (Wooty) Sixel, August 13, 2019 The heat wave blanketing Texas drove wholesale power prices to record levels Tuesday as triple-digit temperatures strained electricity supplies, spurred calls for energy conservation and drew the Texas power grid perilously close...

Power Blows Past $9,000 Cap in Texas as Heat Triggers Emergency

by Chris Martin and Naureen S Malik, August 13, 2019 Electricity prices briefly surged past a $9,000 a megawatt-hour price cap in Texas as extreme heat sent power demand skyrocketing and forced the state’s grid operator to declare an emergency. As temperatures in...

OTC GLOBAL HOLDINGS LAUNCHES EUROPEAN NATURAL GAS & POWER DATA OFFERING

LONDON (22 July 2019) – OTC Global Holdings (OTCGH), leading independent interdealer broker in over-the-counter commodities, announced today the availability of its latest data product, European Natural Gas & Power (EUGP) Forward Curves powered by EOXLive. The new...
Broker of the year: OTC Global Holdings

Broker of the year: OTC Global Holdings

https://www.risk.net/commodities/6605341/broker-of-the-year-otc-global-holdings OTC Global Holdings (OTCGH) had a stand-out year in 2018, growing its oil business by 40%, hitting the one-millionth trade on its EOXLive electronic platform and adding forward curves for...

OTC GLOBAL HOLDINGS NAMED “BROKER OF THE YEAR”

BY ENERGY RISK MAGAZINE FOR FOURTH TIME IN NINE YEARS HOUSTON –(May 15, 2019) – OTC Global Holdings (OTCGH), the world’s largest independent commodity interdealer broker, has been named 2019 “Broker of the Year” by Energy Risk, an internationally recognized...
Brexit Weighs on Oil and Gas Firms

Brexit Weighs on Oil and Gas Firms

The eyes of the world are on the UK Parliament, where members of the House of Commons on Friday again defeated a plan outlining terms for the UK to withdraw from the European Union (EU). Nearly 52 percent of the UK electorate participating in the June 23, 2016,...

Press and Media

OTC GLOBAL HOLDINGS’ CHOICE! PRODUCTS ADDS ENERGY VETERAN RALPH TAPIA AS DERIVATIVES BROKER

NEWS RELEASE

OTC GLOBAL HOLDINGS’ CHOICE! PRODUCTS
ADD ENERGY VETERSAN RALPH TAPIA AS DERIVATIVES BROKER

HOUSTON (October 21, 2019) – Choice! Products, part of leading independent interdealer broker in over-the-counter commodities OTC Global Holdings (OTCGH), today announced the addition of Ralph Tapia as a Derivatives Broker for their Refined Products Desk. Tapia’s focus will be Gulf Coast Physical Distillates, NYMEX Futures and other energy products.

“At OTCGH we understand that only by hiring top tier talent like Ralph will we be able to continue meeting shifting client demands in this evolving marketplace,” said Javier Loya. “His broad industry experience will be a tremendous resource for the Choice! team, their clients and our entire firm.”

Tapia brings more than 12 years of industry experience to the desk, ranging from tax accounting to refinery logistics, and distillate blending to banking. He earned his BBA in accounting and finance from the University of Texas at San Antonio.

“Choice! has a solid gasoline program in place, and there is huge potential to grow the distillate desk with our current team,” added Tapia. “I am very excited to join their Products Desk and know that OTCGH’s leadership will continue to position the firm for success in today and tomorrow’s marketplace.”

For more information about Choice! Products and OTC Global Holdings please visit www.otcgh.com.

About Choice! Products

Founded in 2013, Choice! Products is one of the leading brokerage groups in Refined Products.

 About OTC Global Holdings

Formed in 2007, OTC Global Holdings has become the world’s largest independent institutional broker of commodities, covering financial and physical instruments from offices in Chicago, Des Moines, Geneva, Houston, London, Louisville, New Jersey, New York and Singapore. The company is a leading liquidity provider on CBOT, ICE, NYMEX and NFX, ranking number one amongst its peers in numerous derivatives contracts across biofuels, emissions, commodity index products, crude oil, natural gas, natural gas liquids (NGLs), metals, petrochemicals and refined products, power, proppants, soft commodities, and weather derivatives. The company serves more than 450 institutional clients, including over 70 members of the Global Fortune 500, and transacts in hundreds of different commodity delivery points in Asia, Europe and the Americas. To learn more about the company, please visit www.otcgh.com or go to https://player.vimeo.com/video/146686709.

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Contact: Amy Lach
Pierpont Communications
(713) 627-2223
alach@piercom.com

OTCGH’S EOXLIVE PLATFORM BROKERS MORE THAN 40 PERCENT OF NATURAL GAS OPTIONS BLOCK MARKET IN AUGUST

HOUSTON (September 9, 2019) – Leading independent interdealer broker OTC Global Holdings (OTCGH) announced that in August 2019 its EOXLive platform brokered more than 40 percent of the total Natural Gas Options block market (ICE, CME and NFX).

“Innovations like EOXLive, which provides our clients with unmatched market insight, are critical in today’s market,” said Javier Loya, Chairman and Co-CEO of OTCGH. “Thanks to continued support by our brokers we are seeing greater adoption of the platform and able to further set OTC Global Holdings apart from its peers.”

EOXLive, which allows users to trade directly on screen without having to pick up the phone, includes pre-trade markets and last-traded prices for natural gas options and leverages OTCGH’s strong blocks to provide unique market intelligence and transparency. Recent updates to the platform also now automatically load indicative bids and offers from IM blasts, making it easy to manage and execute orders, and provide users instant access via a web-based platform, free embedded option pricing and analytics grids as well as a robust Markets Page.

In addition to natural gas, the EOXLive platform supports trading in the full spectrum of bilateral and exchange-traded commodities, both physical and financial, including power, petrochemical, crude, refined product, metal, agricultural, weather and environmental markets.

For more information or to receive free access to EOXLive, visit http://www.otcgh.com/eox or contact EOXLive via email: operations@eoxlive.com, AIM: eoxops or phone: 877-737- 8511.

About OTC Global Holdings

Formed in 2007, OTC Global Holdings has become the world’s largest independent institutional broker of commodities, covering financial and physical instruments from offices in Chicago, Des Moines, Geneva, Houston, London, Louisville, New Jersey, New York and Singapore. The company is a leading liquidity provider on CBOT, ICE, NYMEX and NFX, ranking number one amongst its peers in numerous derivatives contracts across biofuels, emissions, commodity index products, crude oil, natural gas, natural gas liquids (NGLs), metals, petrochemicals and refined products, power, proppants, soft commodities, and weather derivatives. The company serves more than 450 institutional clients, including over 70 members of the Global Fortune 500, and transacts in hundreds of different commodity delivery points in Asia, Europe and the Americas. To learn more about the company, please visit www.otcgh.com or go to https://player.vimeo.com/video/146686709.

About EOX Holdings LLC

EOX Holdings LLC (EOX) is registered as an Introducing Broker with the National Futures Association (NFA). EOX delivers unique and comprehensive market data, introducing broker (IB) services and the EOXLive platform. EOXLive provides order and trade management, confirms, reporting and clearing for thousands of trader, hedger and market maker accounts. EOXLive Active Markets delivers comprehensive on-screen price discovery while keeping the important human element in the trader and broker relationship. Leveraging the liquidity of nearly 20 brokerage shops across the commodity spectrum, EOXLive customers have transparency and execution capabilities so they can trade like never before. EOX Holdings LLC is a wholly owned subsidiary of OTC Global Holdings.

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Contact:  Lauren Gray
Pierpont Communications
(713) 627-2223
lgray@piercom.com

Analysis: With no alternative to China, US soybean farmers face high stocks, low prices

by Asim Anand, September 5, 2019

New Delhi — Growing uncertainty around the US-China trade dispute has left American farmers grappling with high soybean stocks and falling soybean prices, as they face limited options in selling their inventory.

US soybean stocks are estimated at 29.13 million mt end-August, which is the end of the 2018-2019 marketing year, up 144% year on year, the US department of Agriculture said in its monthly report.

The average price of US soybean in the 2018-2019 marketing year is estimated at $8.50/bu, down 9% year on year, as sales plummeted and inventory shot up due to the trade tensions, the USDA report said.

Ever since the trade tensions started, US soybean has been selling at a discount of $15/mt to the Brazilian beans, S&P Global Platts data showed.

According to Platts assessments, since January 2019, the average monthly loading price of SOYBEX FOB Santos and SOYBEX FOB Paranagua were assessed at $355.96/mt and $355.34/mt, respectively. While the average monthly loading price of SOYBEX FOB New Orleans soybeans was $340.49/mt.

Before China slapped a tariff on US soybeans in July last year, China bought 29.6 million mt of US-origin soybeans, accounting for 55% of total 2017-2018 (July-June) US exports. Since July 2018, China’s imports of US beans have fallen 77% year on year to 6.7 million mt.

“Since China accounts for almost 65% of global soybeans demand, it is impossible for the US to find significant alternatives for such a big demand driver,” Matheus Pereira, director of agro-consultancy firm ARC Mercosul, told Platts.

Soybean buyers such as the European Union, Mexico, Egypt, Japan, Indonesia, Taiwan and Thailand, together, buy only around 25% of US soybeans in a marketing year, the USDA exports data released last week showed.

“It is impossible for US soybean to replace the Chinese market,” Terry Reilly, senior commodity analyst at OTC Global Holdings’ Futures International said.

BRAZIL, ARGENTINA BENEFIT

Brazilian soybean has benefited the most from the US-China trade dispute, a recent Chinese customs report showed. In 2018-2019 (July-June), Brazil shipped 65.8 million mt of soybeans to China, up 19% year on year, the report said.

Brazil-origin beans account for 80% of Chinese soy purchases so far in 2019.

With Brazilian soybean inventories expected to decline in the fourth quarter of 2019, China is expected to turn its focus on Argentinian supplies. Argentina, the world’s third largest soybean exporter, is expected to export 7.75 million mt to China in the 2018-2019 marketing year (October-September), up 267% on the year, according to the latest USDA report.

“If the US-China trade tensions continue, we see China buying soybeans exclusively from South America,” JCI China, a Shanghai-based agro-analytics company, told Platts. Simultaneously, US soybeans might sell a fraction of their inventory to Brazil and Argentina [to satisfy their local crushing demands], it added.

China may turn to US soybeans only in an unlikely event of catastrophic weather hitting the South American region, and hampering the soy harvest there, Pereira said.

ROAD AHEAD

The US has been making efforts to find new markets ever since China started to buy more from Brazil, JCI China said.

Replacing China with other developing regions, such as South Asia, may take a few years, Pereira said. For instance, India’s rising middle class is expected to double its purchasing power in four to six years, he said. Soybean consumption is seen as directly proportional to the average income of a country’s middle class.

The US and China are set to meet in Washington in October for yet another round of trade talks.

“US-origin soy may not be excluded entirely by the Chinese consumers, even after the trade tension is over, but there is a huge risk in my opinion that the American beans may become a secondary supplier in the Chinese market, unless there are severe droughts in the South American region,” Pete Meyer, head of Grain and Oilseed Analytics at S&P Global Platts Analytics said.

“And US soybean can’t afford to be a stopgap supplier to China,” Meyer added.

“It takes years and years to cultivate a client and only a few minutes to lose that client,” Meyer said, adding that buyers have long memories.

OTC GLOBAL HOLDINGS ANNOUNCES ADDITION OF AARON EASTERLING TO HELP ATTRACT ADDITIONAL TOP TALENT

HOUSTON (August 21, 2019) – OTC Global Holdings (OTCGH), leading independent interdealer broker in over-the-counter commodities, today announced the addition of Aaron Easterling as Vice President of Business Development. Easterling, who brings more than 13 years of experience leading talent initiatives in global alternative investment management to the company, will be responsible for helping the firm identify and recruit premier candidates to OTCGH’s nearly 20 independent brokerage shops across the globe.

“At OTCGH we are focused on growing two things in order to continue succeeding, our people and technology resources,” said Javier Loya, OTCGH’s chairman and chief executive officer. “However, we fully realize that without great people the best technology in the world is useless. We’re excited to welcome a seasoned professional like Aaron to this team and know that he will only help us further enhance the quality of employees at this company as well as that this will lead to even better client service in the end.”

Prior to joining OTCGH, Easterling was the Chief Human Resource Officer and Portfolio Manager for Velocity Merchant Energy LP for more than 10 years. Easterling, who has a bachelor’s degree in business management from Southeastern Oklahoma State University, also previously served in various Talent Acquisition and Account Management roles with HBK Capital Management, Countrywide Financial and Management Alliance Group.

“While many companies search for a ‘silver bullet’ among the continued changes in the market, OTCGH knows that it starts with great people and is willing to invest in this belief by hiring the best to continue providing unparalleled customer service to its clients,” added Easterling.

For more information about OTCGH please visit www.otcgh.com.

About OTC Global Holdings

Formed in 2007, OTC Global Holdings has become the world’s largest independent institutional broker of commodities, covering financial and physical instruments from offices in Chicago, Des Moines, Geneva, Houston, London, Louisville, New Jersey, New York and Singapore. The company is a leading liquidity provider on CBOT, ICE, NYMEX and NFX, ranking number one amongst its peers in numerous derivatives contracts across biofuels, emissions, commodity index products, crude oil, natural gas, natural gas liquids (NGLs), metals, petrochemicals and refined products, power, proppants, soft commodities, and weather derivatives. The company serves more than 450 institutional clients, including over 70 members of the Global Fortune 500, and transacts in hundreds of different commodity delivery points in Asia, Europe and the Americas. To learn more about the company, please visit www.otcgh.com or go to https://player.vimeo.com/video/146686709.

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Contact:
Amy Lach
Pierpont Communications
(713) 627-2223
alach@piercom.com