By commodity trading center in 99 member units of crude oil financial investment

First, the natural properties of crude oil means a natural form or mixed liquid hydrocarbons from natural underground reservoirs direct exploitation was mainly stored in the upper part of the crust. It is a variety of hydrocarbons by a dark brown or dark green viscous liquid or flammable substances, the chemical composition of crude semi-solid composition including three compounds alkanes, cycloalkanes, aromatic hydrocarbons. In addition, sulfur, oxygen, nitrogen, phosphorus, vanadium, and other elements and other impurities. Physical and chemical properties in different parts of the production of crude oil is also different, including color, density, viscosity, freezing point, flash point, wax content, sulfur content and salt content and other characteristics will contain differences. Density of crude oil (API severe) into light, medium and heavy crude oil three; according to press sulfur into sulfur, sulfur and high-sulfur crude oil three; according to the composition is divided into paraffin, cycloalkyl and intermediate base crude categories. In the current technical and economic conditions, the process of oil refining processing technology matures, refining and processing crude oil after major products include refined oil, three synthetic materials and various organic chemical raw materials. Oil products include six categories of petroleum fuels, petroleum solvents and chemicals, lubricants, paraffin, petroleum asphalt, petroleum coke. Among them, the largest variety of petroleum fuel production, nearly 90% of total production of crude oil refinery processing products; various lubricants most varieties, production accounts for about 5%. Within the meaning of refined oil daily, mainly oil fuels, including gasoline, diesel, kerosene and fuel oil. Second, the history of crude oil in 1859, Pennsylvania drilled the first commercial oil well, opened the modern oil industry precedent. Oil is the blood industry, expanding growth in oil demand and oil trade due to the massive use of oil in industrial production. A war before, oil is mainly used for lighting, mainly the United States and Russia at the same time oil is also a major consumer. In a war, the strategic value of the oil has been initially apparent, as oil burning high efficiency, lightweight, to improve the combat effectiveness of the armed forces is of great strategic significance. 1920s, as oil becomes power from the engine, oil demand and trade expanded rapidly. 1929 oil trade volume reached 1.17 billion US dollars, the flow of international oil cargo flows in this period mainly from the United States, Venezuela flows to Western Europe. At the same time, the Soviet Union's oil rapid recovery and development. By the late 1930s, the United States and the Soviet Union to become a major oil exporter, oil international trade began to occupy a prominent position in the global energy trade, promote the rapid growth of international trade, energy, and shook the coal body in the international energy market position. During World War II, the status of an important oil. American allies during World War II to become a major energy supplier. After World War II, the United States once the master of the world's crude oil production of two-thirds. Pennsylvania from 1859 played in the first oil well for some time after World War II, the world energy map called "Gulf Times." Wang Yadong that the formation of "Gulf Times" in the United States but also the development of political, economic and military strength continues to expand, the final period in the Western world to establish their hegemony. During this period almost simultaneously with US domestic oil development. US control of oil, contributing to the consolidation of the US position in the world economy politics. Oil on the United States to establish world hegemony important road booster. Third, the price of crude oil factors before the 1970s, oil as a commodity, supply and demand balance, the price is relatively stable, small fluctuations. Into the 70's, along with the oil crisis, oil prices began to sharp fluctuations, financial and political nature of petroleum products is growing. Overall, the main factors affecting the international oil price volatility include: supply and demand (supply, demand, inventory) crude oil market supply and demand factors, including the supply of crude oil market, consumption and inventory. Increased supply, consumption fell, oil prices; supply fell, increased consumption, higher oil prices. The impact of stock price mechanism is more complex, in general, higher oil prices will push stocks fell, inventories increased and vice versa. But there are also the same direction in crude oil inventories and price fluctuations. 2. Macroeconomic (policies and regulations, inflation, etc.) oil is the blood of modern industrial society, on the one hand it will affect the global economy, on the other hand the global economy will in turn affect the price of crude oil. When the global economy continues to boom, the demand for crude oil will be an overall increase, otherwise it will reduce demand. So when the global economy encountered major problems, the price of crude oil will be greatly suppressed. For example, in 2008 the US subprime mortgage crisis, making the global economy suffered heavy losses in crude oil prices from $ 147 / barrel record high all the way down. 3, international political factors (regional unrest dispute, war) Two energy most influential organizations in the international oil market OPEC and IEA, the former control of most of the world's remaining oil resources, while the latter has the largest oil reserves system, both of which have the ability to supply the market in a short time to reverse the pattern of changes in market expectations. Policy starting point OPEC and IEA are not the same, but would agree to stabilize oil prices at a reasonable price range is still basically the same, the former by the release of the remaining capacity, and the latter by releasing stocks strategic reserves to curb oil prices in the short term rising too fast. Moreover, historical experience shows that the impact of major political and economic events on the international oil market should not be overlooked (especially war), almost any one incident will have an effect on the market trader's psychological expectations, which led the market in a relatively the volatility appears huge in a short period of time. For example, the Gulf War, the United States against Iraq, etc. so that the sharp rise in oil prices in the short term. 4, the relevant market linkage (gold, exchange rates, stock) the dollar as the main currency-denominated international oil market, even though demand in the international oil market and supply has not changed, the dollar exchange rate fluctuations can cause fluctuations in international oil prices, while dollar exchange rate is not only influenced by the US economy, fiscal policy, interest rates and other domestic factors, but also the volatility of international financial markets will also affect the US dollar exchange rate, overflow increase volatility in international oil prices by risk. 5, the development of international hot money speculation and oil derivatives market, making the international oil market relations with international financial markets increasingly close, especially the rapid development of the oil futures market, the continued involvement of the international financial speculative capital international oil market, making oil prices short-term trend can get rid of the shackles of normal oil market supply and demand to a certain extent, while showing its own price volatility rule. Oil "Financial Properties" rising oil speculative bubbles in financial markets severely exacerbated the market turbulence. 6, alternative energy development in general, in the short term due to the technology, the device uses the presence of a certain inertia, especially among the relative prices of fossil fuels will be maintained at a relatively stable level, thus selectively adjust the energy structure of an alternative to the very difficult to have a greater impact. However, in the long run, if the community of some energy prices is likely to remain at a high level to produce a psychological expectations, the adjustment of energy structure to form a trend, then, even if prices of alternative energy sources to stop the rise, this selective substitution will last long, possibly even a permanent replacement. Therefore, the development of alternatives to oil, especially the development of new energy sources will inevitably have an impact on long-term oil prices. Although the new energy in the global energy mix in the proportion is still low, but high oil prices stimulus, countries have introduced policies to support the development of new and renewable energy, potentially accelerate new energy alternative to oil. Fourth, the global oil market before world oil resources distribution: distribution of oil resources in general terms the extreme imbalance: view from the eastern and western hemispheres, about 3/4 of the oil resources are concentrated in the Eastern Hemisphere, accounting for 1/4 of the Western Hemisphere; look from the northern and southern hemispheres Crude oil reserves are concentrated in the northern hemisphere; from the latitude distribution, mainly in the north latitude 20 ° -40 ° and 50 ° -70 ° latitude band two. Middle East, Persian Gulf and the Gulf of Mexico oil-producing region and North Africa two fields are within the latitude 20 ° -40 °, the band concentrated 51.3% of the world's oil reserves; within 50 ° -70 ° north latitude with the name of the British North Sea Oilfield, Volga and Siberian fields, outside the Caucasus oil fields and the Gulf of Alaska, oil-producing region. World crude oil proven reserves: In accordance with British Petroleum (BP) statistics, in the past 20 years, the world's proven reserves of conventional oil resources show a slow upward trend, in 1991 the world's proven oil reserves of about 10,327 barrels, 2001 to 12674 barrels. By the end of 2012, the world's proven oil reserves of 1.6689 trillion barrels, enough to meet 52.9 years of global production. OPEC to maintain its leading position, accounting for 72.6 percent of the world's proven oil reserves. In the past decade, the world's proven oil reserves increase by 26%, ie 3500 billion barrels. World oil supply and demand: the world's crude oil consumption is mainly concentrated in the Asia-Pacific, North America and Europe and Eurasia, and world oil production areas are mainly concentrated in the Middle East, North America and Europe and Eurasia. 2012 world oil production increased by 1.9 million barrels / day, more than twice the global oil consumption growth more. US oil production increased by 100 million barrels / day, or highest in the world, but also the highest in US history. World oil consumption rose by only 890,000 barrels / day. All of the net growth comes from emerging economies in Asia, Latin America and the Middle East, Europe and North America over the decline of oil consumption. World oil trade patterns: In the 21st century, global and regional changes in the economic structure of the world economic globalization not only promoted the sustained rapid growth of international oil trade, but it also brings new changes to the international oil market situation, the state from emerging market economies The demand has begun to change the structure of the international oil trade. More than 73 percent of Middle East oil goes to the Asia-Pacific region, including Japan and China accounted for nearly half. CIS and oil are mainly exported to Europe, North Africa, the export volume of 69.6% and 52.1%, respectively, accounted for; West Africa's oil is mainly exported to the US (29.5%), Europe (24.9%) and China (18.2 percent); Latin America's oil exports to the US has 59.9 percent. Fifth, the Chinese oil market before China's crude oil proven reserves: As of 2011, China has proven reserves of 140 billion barrels of crude, ranked 13th worldwide. 70% of the oil resources are concentrated in 30% of minority basin. Mainly distributed in the Bohai Bay, Songliao, Tarim, Ordos, Junggar, the Pearl River estuary, Qaidam and East China Sea continental shelf. China's crude oil supply and demand: according to the national statistics office data, in 2013, China's crude oil output of 208 million tons, apparent consumption of 488 million tons, foreign dependence reached 57.39%. China is the world's fourth largest oil producer and second largest consumer of oil. China's crude oil trade: With the development of Chinese society and economy, China's oil trade structure is also evolving. The early 1980s to the 1990s, China's oil trade situation is the relatively low price of crude oil exports, and to the relatively high price of imported oil products. Since 1993, China has become a net oil importer, after net imports increased year by year, since 1997, it is to become a net importer of crude oil. Oil trade began mainly imported crude oil, refined oil import ratio declining, while oil exports continue to decline, exports of refined oil continued to rise. At present, China's crude oil imports come from the Middle East, Russia and the former Soviet Union and Africa. According to information released by China Customs, in 2012 crude oil imports 271 million tons, an increase of 7.3%.