nymex crude oil actual price and IG price

[Smit]

hello,

I have emailed IG about this and still waiting for a reply, hoping someone can light me up with this query

as per bloomberg and investing nymex crude oil price is under $22.60 and IG price is over $28.60

why such a huge difference in price?

 

[Mark999]

Hi smit,

The difference is due to IG quoting the price from a forward month contract as opposed to a current month contract. This can be due to many reasons, the main being to minimise risk of contango occurring upon front month contract expiry, and to ensure linearity and smooth transitions in pricing.

It has no effect on your ability to trade and does not mean IG are charging clients more.