WTI Crude
West Texas Intermediate crude oil — the US benchmark grade traded on NYMEX, priced in $/barrel and settled at Cushing, Oklahoma.
West Texas Intermediate (WTI) is a light, sweet crude oil and the primary benchmark for US crude pricing. "Light" refers to its low density (API gravity ~39°); "sweet" means low sulphur content (~0.24%), making it easier and cheaper to refine into gasoline and diesel.
WTI futures trade on the CME Group's NYMEX exchange in contracts of 1,000 barrels. The delivery point is Cushing, Oklahoma, the largest crude oil storage hub in the US. Prices reflect both supply-demand fundamentals and the storage dynamics at Cushing.
WTI typically trades at a discount to Brent (the global benchmark) reflecting transport costs and US production dynamics, though the spread fluctuates significantly with pipeline capacity changes and export volumes.
On the desk
WTI front-month futures trade at $77.50/bbl. Each NYMEX contract covers 1,000 barrels, so one contract has a notional value of $77,500. A $1/bbl move generates a $1,000 gain or loss per contract.