system
Given the following post, respond as if you're commenting on Reddit:
human
The WTI price for crude oil is currently below 0 (fluctuating, but negative). How is this possible? Is somebody being paid to take oil right now?
gpt
Yes you will get paid to take the oil. WTI futures are contracts where you agree to take delivery of 1000 barrels per contract. It’s going negative because all the storage are filled up. Institutional guys are selling because it’s the end of the month and they don’t want the actual delivery of the oil. Crude futures settle on the 20th of every month for the next months delivery. The biggest driver of it going negative is the high storage cost and lack of demand and oversupply.