Commodity Insights: 44Platts® Price Assessments
Growing market importance:
From price reference to “benchmark” status
S&P Global Commodity Insights’ publishes thousands of daily Platts price assessments and is a key source of pricing intelligence.
S&P Global Commodity Insights’ innovation in Platts price assessments and information delivery have provided solutions to pricing challenges and helped build our reputation as a leading provider of energy and commodities price information.
For a given commodity, market participants generally utilize one or two benchmarks, with futures settled against one. It is market participants who choose which price assessments to adopt as benchmarks. S&P Global Commodity Insights is independent and does not participate in trading the markets it assesses.
How Market Participants Use Price Assessments
| Platts® price assessments are the basis for billions of dollars of transactions annually in the physical and futures markets |
| Buyers, sellers, and traders use price assessments as a basis for pricing spot transactions and term contracts |
| Risk managers use them to settle contracts and to place a market value on the product(s) they hold |
| Analysts use them to identify trends and patterns in supply and demand |
| Governments reference them to formulate royalty payments and retail prices |
| Exchanges and investors use them to price derivatives contracts |
Platts® price assessments by S&P Global Commodity Insights are the basis for more than 1,400 exchange-traded, cash-settled futures contracts
Data as of 4/30/2023