Platts Market on Close
What it is & why it matters

A structured and transparent methodology to determine commodity price assessments, operating on the principle that price is a function of time.

The MOC Process

The process involves market participants submitting firm bids, firm offers, and confirmed transactions to Platts editors. This information is published in real time via the Platts Editorial Window (eWindow).

Real-Time Data Visibility: The Platts eWindow

Platts eWindow interface

The eWindow provides the real-time flow of market information.

Process 1

Physical MOC (LNG)

Focused on transactions for physical delivery. Prices can be fixed outright or floating against benchmarks like JKM.

16:00
Singapore Time

Submission cut-off for Physical MOC (Asia).

Can companies trade published bids/offers?

YES

Trades are bilateral. A company can "click trade" on eWindow or inform editors. Parties negotiate directly, finalize, and report back.

Performance: Platts expects all reported LNG MOC trades to be physically performed. Reasonable substitutions allowed.

When MOC Orders are Submitted and Published

A crucial window defines the process where price is set as a function of time (all times SGT).

09:00 to 15:00

Platts gathers market information, news, and external intelligence.

15:00

Platts publishes initial intraday values based on collected market data.

15:00 to 16:00

Initial Submission Window. Bids: ≤ Intraday; Offers: ≥ Intraday.

16:00

Physical MOC Submission Cut-off. No fresh bids or offers accepted.

16:00 to 16:29

Bids/offers can be improved by up to 5 c/mmbtu every two minutes.

16:30

All MOC bids and offers on the eWindow expire. Assessment finalized.

Future Expectations & Forward Curve

Process 2

Derivatives MOC

16:10 SG Time

Submission Cut-off

Covers financial derivatives contracts reported by Participants.

  • ✓ Show future market expectations.
  • ✓ Represents underlying future value.
  • ✓ Establishes hedgeable outright price values.

Why Participate?

Accuracy & Hedging

Improves benchmark accuracy and strengthens hedging.

Transparency & Credibility

Enhances transparency and builds participant credibility.

Trading Performance

Benefits own trading outcomes via market visibility.

Beyond MOC: Risk & Advanced Concepts

Platts JKM assessments serve as the primary price benchmark for the Asian LNG spot market, widely used to cash-settle derivatives and price bilateral physical contracts.

Concepts to Explore

• Bid Depth & Offer Stack
• Swaps and Spreads
• Calendar Spreads
• BALMO & Cash Differentials

Stay tuned for the next post!

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