CRUDE OIL OPTIONS MARKET FOUND TO BE EFFICIENT

The U.S. crude oil options market operates efficiently and does not overreact, say Harvard University researchers Gordon Phillips and Robert Weiner. The authors, with the JFK School of Government, studied the crude oil options market under a Department of Energy grant. The current market was created in November 1986 when the New York Mercantile Exchange introduced an options contract for delivery of West Texas intermediate crude futures. It has grown greatly since then.