Chris Fernandez

Is the USO ETF a Piece of Junk?

I don't think there is anything more I can add that you guys haven't already covered really well.

As for suggesting shorting USO and going long USL, that is not a good idea at all, even for a day trade.

This isn't like locking in gains on the "A" or "B" shares spread of a company.

Again, short term, these are fine ways to play a few week's worth of rapid oil price movement, even a few days the way things have been going lately in oil and other commodities, but longer than that, all bets are off.

Chris

ETF Ideas

Hey22,

Good points all, thanks for sharing them.

I suppose what I meant was that shorting Treasuries is not simple for most people, or something they are comfortable with or readily would do.

An ETF presents a much simpler way of transacting the trade.

As for the "bubble" scenario, you make a good point, and it is certainly something to watch...but at current rates, I still argue that Treasuries are not the place to be going forward for long term investors.

Chris