petroleum future
- noun
- /pəˈtroʊliəm ˈfjuːtʃər/
- Specialized
:
futuro del petróleo
- Many investors use petroleum futures to hedge against fluctuations in oil prices.
Examples
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Trading in petroleum futures can be risky because the market is highly volatile.
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The price of petroleum futures rose sharply due to concerns over supply disruptions.
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The petroleum future market is highly volatile.
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Are you investing in petroleum futures this quarter?
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Investors are closely watching the petroleum future contracts to predict oil price trends for the upcoming months.
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She traded a petroleum future that would set the price of crude oil for delivery later this year.
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Speculators are betting on the petroleum future market due to rising tensions in the Middle East.
Synonyms
76
7.9
A contract to buy or sell something later at a fixed price
4
6.6
An agreement to buy or sell oil at a set price for delivery later
3
6.2
An agreement to trade things such as oil or shares at a fixed price on a future date
Surface Forms
Morphology
The meaning is directly compositional: combining 'petroleum' (a type of fuel) with 'future' (a contract to buy/sell at a later date) yields a contract for petroleum delivered in the future. This is a regular noun+noun financial construction (like 'oil future' or 'gold future') and would be understandable to a learner who knows both constituent meanings.
Etymology
Petroleum future comes from traders who promised to buy or sell petroleum on a future date at a set price, so imagine paying now to lock the price of a barrel to be delivered months later. That's why petroleum futures are contracts that 'fix the price' for oil to be delivered later, helping people protect themselves from price changes.