Will McClatchy at ETFzone.com

Light and Sweet: Oil ETFs Ranked

Dear Lee,

There is a recent surge in speculation, no doubt about it, and at least temporarily that has to have impacted prices. Long-term it should stimulate production of all types of energy and not affect prices so dramatically. I suspect that the big institutional funds serving pension plans will simply go to London and trade Brent Sea crude or Middle Eastern varieties, and these funds represent the lion's share of the financial buyers (not oil industry players) in the market. Smaller amounts of capital in the hands of individual investors may be dissuaded. USO and OIL use wait until the regulators come knocking on the door but they are simply long at all times. I am having a hard time picturing how regulators could put the ETFs out of business without yanking many, many other players with vast amounts of capital out of the futures markets. Seems unlikely to me. Hope that helps.

-Will McClatchy