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Axi Symbol: USOIL
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3 Day Financing: Friday
Long Position Overnight Fee: displayed on the trading platform
Short Position Overnight Fee: displayed on the trading platform
USOIL is the trading symbol used by Axi for a CFD based on West Texas Intermediate, or WTI, one of the world’s leading crude oil benchmarks. WTI is commonly used to represent the price of oil produced in the United States.
WTI is classified as a light, sweet crude oil. “Light” refers to its relatively low density, while “sweet” means it has a low sulphur content. These qualities make WTI comparatively easy to refine into products such as petrol, diesel and jet fuel.
WTI prices are quoted in US dollars per barrel, and the benchmark is closely associated with Cushing, Oklahoma, the delivery location for the main WTI futures contract.
Different brokers and financial platforms may use different symbols for WTI-based instruments. Common names include:
These names commonly refer to instruments based on WTI priced in US dollars, but symbols, prices and contract specifications may vary between providers.
An oil CFD, or contract for difference, allows traders to speculate on changes in the price of crude oil without purchasing, storing or taking delivery of the physical commodity.
The result of a USOIL CFD trade is the difference between the opening and closing prices.
Traders can:
CFDs are leveraged products, meaning traders can open a position by depositing a percentage of its total value as margin. Leverage can increase potential returns, but it also magnifies losses.
Oil CFDs may also involve costs such as the spread and overnight financing.
Although oil CFDs are often available on the same platforms as forex CFDs, USOIL is a commodity CFD rather than a forex currency pair.
| Feature | USOIL CFDs | Traditional oil exposure |
|---|---|---|
| Ownership | No ownership of physical oil | Exposure may be obtained through futures, funds, shares or physical contracts |
| Trading direction | Buy or sell | Depends on the product used |
| Leverage | Available | Varies by product |
| Physical delivery | Not required | May apply to some futures or physical contracts |
| Trading costs | Spread and possible financing charges | May include commissions, fund fees, storage or contract costs |
| Settlement | Based on the price difference | Depends on the product |
Oil CFDs are designed for trading price movements. They do not provide ownership of physical oil or shares in an oil-producing company.
USOIL is generally based on West Texas Intermediate, the main US crude oil benchmark, while UKOIL is generally based on Brent, a widely used reference price for oil traded across international markets.
| Feature | USOIL / WTI | UKOIL / Brent |
|---|---|---|
| Main market association | United States | International and seaborne oil markets |
| Reference location | Cushing, Oklahoma | North Sea crude oil market |
| Crude characteristics | Light and sweet | Light and sweet |
| Common influences | US inventories, shale production and refinery activity | Global supply, seaborne trade and geopolitical developments |
| Common alternative symbol | XTI/USD | XBR/USD |
WTI and Brent prices often move in the same direction because both respond to global oil supply and demand. However, the difference between them, known as the Brent-WTI spread, can change because of US production, storage levels at Cushing, pipeline and export capacity, shipping costs and international supply disruptions.
WTI crude oil has experienced several periods of sharp volatility, reflecting changes in global supply, economic growth and geopolitical conditions.
Oil prices rose significantly during the 1970s as supply disruptions transformed the global energy market. Prices later weakened during the mid-1980s as higher production contributed to an oversupplied market.
WTI remained relatively subdued through much of the 1990s before rising rapidly in the 2000s. Strong demand and limited spare production capacity helped push WTI above $147 per barrel in July 2008. Prices then collapsed as the global financial crisis reduced economic activity and expected oil demand.
Another major downturn occurred between 2014 and 2016. Rapid growth in US shale production, combined with strong global output, pushed WTI below $30 per barrel in early 2016.
In April 2020, the May WTI futures contract settled below zero as the COVID-19 pandemic caused demand to collapse and available storage became scarce. The negative price applied to a specific expiring futures contract and did not mean that all physical oil or oil-related products had a negative value.
Prices recovered as economies reopened, and WTI climbed above $120 per barrel in 2022 after Russia’s invasion of Ukraine increased concerns about global energy supplies.
During 2023 and 2024, prices moderated as traders weighed OPEC+ production restraint against growing output outside the group and uncertainty about global demand. WTI prices declined further on average in 2025 as higher supply and concerns about an oversupplied market placed pressure on crude oil.
In 2026, the US-Iran conflict and disruptions to shipping through the Strait of Hormuz contributed to sharp swings in oil prices, as traders assessed how tensions around major production regions and transport routes could affect global supply.
WTI prices are influenced by both US-specific developments and changes in the wider global oil market.
Oil prices tend to rise when expected demand exceeds available supply and fall when production is higher than consumption.
Demand is influenced by industrial activity, transport, air travel and the wider economic cycle. Even small changes in expected supply or demand can cause significant price movements.
OPEC and its partner countries, collectively known as OPEC+, coordinate production targets for a large share of the global oil market.
Production cuts may support prices by reducing expected supply, while production increases or poor compliance with agreed limits can place downward pressure on prices.
Changes in US production, particularly from regions such as the Permian Basin, can also affect WTI and global supply expectations.
Crude oil inventories indicate how much oil is being stored rather than consumed or processed.
A larger-than-expected inventory build can suggest that supply is exceeding demand, while a larger-than-expected draw can indicate tighter market conditions. Inventory levels at Cushing can have a particularly direct effect on WTI prices.
Refinery maintenance, unplanned shutdowns and changes in refinery utilisation can also influence demand for crude oil.
Wars, sanctions, political instability and attacks on energy infrastructure can disrupt production or transportation.
Prices may rise even before supply is physically lost if traders believe that a conflict could affect major oil-producing countries or important shipping routes.
WTI is priced in US dollars. A stronger dollar can make oil more expensive for buyers using other currencies, while a weaker dollar can have the opposite effect.
Interest-rate decisions may also affect WTI indirectly by influencing economic growth, the US dollar and investor sentiment.
Stronger economic activity generally supports demand for transport and industrial fuels, while slower growth can reduce expected consumption.
Hurricanes and severe storms can interrupt offshore production, pipelines, ports and refineries in the United States.
Seasonal travel, winter heating demand and changing refinery activity can also affect prices.
Government policies concerning drilling, sanctions, strategic petroleum reserves, emissions and alternative energy can influence both current supply and expectations of future oil demand.
WTI traders monitor scheduled reports and unexpected developments that may affect oil supply, demand and market expectations.
The US Energy Information Administration releases weekly estimates covering crude oil inventories, production, imports, exports, refinery activity and petroleum-product stocks.
Unexpected changes in commercial crude inventories can trigger rapid movements in WTI prices.
The American Petroleum Institute publishes estimates of US crude oil and petroleum-product inventories ahead of the official EIA report.
The figures can influence short-term expectations, although they may differ from the subsequent government data.
OPEC+ production decisions are among the most closely watched events in the oil market.
Traders may consider the headline production target, the timing of changes, voluntary cuts and whether member countries are complying with agreed quotas.
Monthly and periodic reports from major energy organisations provide forecasts for oil supply, demand, production and inventories.
Revisions to these forecasts can change the market’s view of whether oil is likely to be in surplus or deficit.
Reports covering US crude oil output and drilling activity can provide clues about future supply.
However, changes in the number of active rigs do not always translate immediately into changes in production because drilling efficiency and well productivity also matter.
GDP, manufacturing surveys, employment reports and other economic indicators can affect expectations for energy demand.
Inflation and interest-rate decisions may also influence WTI through their effect on the US dollar and market sentiment.
Conflicts, sanctions and disruptions involving major producers or shipping routes can cause sudden volatility.
Traders may also monitor hurricane forecasts during the Atlantic hurricane season because storms can affect US production and refining infrastructure.
Because significant oil-market news can occur outside scheduled reporting times, USOIL positions may experience sharp movements and price gaps.
Axi offers different account types depending on how you plan to trade USOIL:
*Other fees may apply.
Fund your account via the Client Portal using:
*Axi does not charge fees, but your provider may.
Open USOIL and set your order:
USOIL specifications define how the instrument is priced and traded. Always check the latest details on the Axi platform before trading.
Key details include:
Trading hours and specifications may change due to holidays, market conditions or liquidity provider updates. Always check the latest information before trading.
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