Pricing, Currency & Commodity Conversion
Convert commodity units, price against benchmarks and expose hidden FX spreads on cross-currency invoices.
Commodity pricing lives on two axes: the unit (metric tonnes, barrels, bushels, gallons, pounds) and the reference price (Platts, Argus, LME, CBOT, ICE). Conversion between MT and BBL depends on API gravity - a metric tonne of Brent is 7.45 barrels, but WTI is 7.33 and heavy sour is 6.5. Our Commodity Converter carries density tables for the most-traded grades.
Basis is the difference between the price you pay/receive and the benchmark - reflecting quality, location and timing. A cargo of 62% Fe iron ore in North China at Platts IODEX + 0.50 has a positive basis; a low-CV Indonesian coal at Newcastle - 8.00 has a large negative basis. The Basis Calculator lets you back into implied margins from the basis alone.
For invoicing in USD when the underlying is EUR, GBP or INR, banks charge an FX spread that rarely appears on the confirmation. On a USD 500,000 invoice at a 1.5% spread, the exporter loses USD 7,500 quietly. The Multi-Currency Invoice Calculator shows spread vs mid-market so you can shop the rate.
Frequently asked questions
How do I convert metric tonnes to barrels?
BBL = MT × 7.33 for WTI-equivalent crude, ×7.45 for Brent, ×6.5 for heavy sour, ×8.5 for gasoline. The exact factor depends on API gravity: 1 MT = 6.29 × (API + 131.5) / (141.5 × density) barrels. Our Commodity Converter handles all major grades.
What is basis in commodity trading?
Basis is the price differential between a physical cargo and its benchmark: e.g. WTI Cushing + 3.50 for a specific US crude grade at delivery. A positive basis usually reflects better quality or scarcer location; a negative basis reflects the opposite.
What FX spread should I expect on a trade invoice?
For USD/EUR, USD/GBP: 0.3–0.8% at competitive banks; 1.5–3% at retail rates. For emerging market pairs (USD/INR, USD/BRL, USD/NGN): 1–3% is common. Always compare against the interbank mid-rate.