# Two Words That Sent the Oil Market Plunging: Negative Gamma - Bloomberg

> Oil suffered its biggest one-day slump in three years. Trading desks attributed the move to options-related hedging flows known as negative gamma rather than OPEC or Trump comments.

- Date: 2018-11-15 · published 2018-11-15T12:00:00.000Z
- Category: market · region Global · magnitude low
- Page: https://feedsoft.ai/events/7336-two-words-that-sent-the-oil-market-plunging-negative-gamma-bloomberg
- Commodities: [Crude Oil (WTI)](https://feedsoft.ai/c/WTI.md), [Crude Oil (Brent)](https://feedsoft.ai/c/BRENT.md)

## Why it matters

Price moves driven by options positioning rather than physical fundamentals add volatility to energy markets, which can transmit to biofuel and feed-input costs.

## Read by commodity

- WTI: bearish ▼
- BRENT: bearish ▼

## Linked price moves

| Commodity | Date | Window | Change % | z-score | Why linked |
| --- | --- | --- | --- | --- | --- |
| BRENT | 2018-11-13 | 1 | -6.2% | -4.3 | Options-related negative gamma hedging flows amplified the one-day slump, a plausible technical contributor to the outsized z-score move, though the date is later and the attribution is debated. |

## Sources

- bloomberg.com: https://www.bloomberg.com/news/articles/2018-11-15/two-words-that-sent-the-oil-market-plunging-negative-gamma

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.