What does OPEC Basket mean?
The OPEC Basket is a weighted average of prices for petroleum blends produced by OPEC countries. It is used as an important benchmark for crude oil prices. This is also known as the OPEC Reference Basket (ORB).
Futures Knowledge Explains OPEC Basket
The OPEC basket which is a weighted average of the blends of oil reflects the characteristics of the mix of light and heavy crudes produced by OPEC members. The OPEC Basket generally trades at a discount to Brent, but at a premium to the WTI. For example, on July 2, 2015 the OPEC Basket traded at $58.99 a barrel price while Brent at $59.80 and WTI at $55.07.
