Platts to reduce repeat order timing in Dubai MOC

Platts, part of S&P Global Commodity Insights, will shorten the time allowed for participants to repeat a bid or offer, following a trade, in the Middle East sour crude partials Market On Close assessment process with effect from Sept. 1, 2022.

Platts first proposed the change in a subscriber note published July 13, 2022: http://plts.co/Xme730soFoP .

Currently, participants in the MOC process have up to 15 seconds to repeat their bid or offer following a trade. Platts will shorten this to up to 10 seconds from Sept. 1, 2022.

The change takes into account the growth in market activity and the recent price volatility, which has necessitated a speedier and more granular approach in the MOC process for price demonstration.

Activity in the Middle East sour crude MOC assessment process has grown substantially in recent years, reflecting rising trade volumes in the broader Asia market, underpinned by strong oil demand growth in countries such as China and India.

The change would apply to all crude partials and spreads in the Middle East MOC assessment process for Dubai, Oman, Upper Zakum, Al Shaheen, and Murban crudes. The five grades are physically deliverable into the benchmark Platts Dubai crude contract.

Platts last reduced repeat order timing in the Dubai MOC to 15 seconds from 60 seconds in November 2015.

The change will not affect the increment guidelines, which allow market participants to improve their bid or offer by up to 5 cents/b every 5 seconds.

The Middle East sour crude MOC is facilitated by Platts Editorial Window or eWindow, an online data-entry and communications tool, which brings greater speed, transparency and efficiency to the price assessment processes.

For more information on Platts Middle East crude benchmarks and how they are assessed, please visit:

/content/dam/spglobal/ci/en/documents/platts/en/our-methodology/methodology-specifications/apag-crude-methodology.pdf

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