By Owain Johnson and Jeff White
On first glance, oil prices appear to have stabilized since the attack on the Saudi oil facilities at Abqaiq in mid-September, which led to a major surge in prices. But the crude oil options market is telling a different story: the energy industry remains extremely nervous.
Activity in options based on WTI crude oil futures - the world's most actively traded energy market - shows that traders are anxious to protect themselves against increased volatility and against the potential of further sharp price rises.
This underlying tension in the