How to close a Commodity (update closing or base price)

Created by Erik Åkerlund, Modified on Fri, 09 Feb 2024 at 11:52 AM by Catharina Hansson

When a commodity's closing price or base price is available either as fixed or average the commodity will turn up in commodity price view and will be shown on the widget Deal Action.



The logic for the different types when they are shown are as follows:

  • Fixed for floating - At 'Cash Settlement Date' or after
  • Fixed for average - At 'Period End Date' or after
  • Average for floating  - First time at 'Period End Date' or after. Second time at 'Cash Settlement Date' or after



Note!

The selection in Deals Action should be on 'Maturity date' until ('To'). Default is set until 'TODAY'.



How to close a commodity:


1. Go to Deal Action> Commodity prices

2. Select the commodities you want to set the closing price for

3. If Fixed for Floating click on 'Automatic'  



The system will automatically set the Cash Price for the commodity and currency in 'Closing Price' and calculate and show the 'Gain Loss'. 


4. If Fixed for Average use either 'Automatic' (system will calculate the average closing price based on each days Cash        Price) or 'Manually' ( -> a popup with all needed prices will appear and the average price can be entered manually). 


5. If Average for Floating  -  click on 'Manual' and set Average Base Price. 

Note, in this case the automatic function does not work because the counterparties calculates the average differently.

6. Validate the Base Price and Base Amount 

7. Click Save

8. To set 'Closing Price', see bullet 3 above.




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