[Marxism] how are (oil) prices set?

[S. Artesian]

Les,

Oil is traded in spot markets, future markets, and by direct contracts 
between refiners and producers.


OPEC has historically set a price on its benchmark grades; other producers 
do the same-- i.e. West Texas Intermediate,  North Sea, etc.

Secondary markets where contracts for future delivery of oil establish 
prices based on..... fear and greed?  Good an answer as any.  A specific 
size, volume of oil is  traded, usually in 1000 barrels (42 gals/barrel) 
lots.  Most of these trading contracts are offset by other, opposite trades, 
and the traders settle up without ever taking delivery of the oil.

Where the spot price now is about $145/barrel, refiners actual prices will 
probably average out to be around $100/barrel at the end of the quarter.