(04-20-2020, 01:16 PM)Kerim Wrote: Thanks Otter!
Now, can you or anyone else talk to me like I'm six years old and explain it again? So the sub-dollar prices I'm seeing are only for... what,... "May 20" contracts? Those expire today / tomorrow? Or next month?
I'm a total oil noob -- I guess I need a primer!
Don't ask about contango lol. I get a warning message (this stuff is crazy) before I hit send on a US Oil transaction lol. Long story short is future contracts matter more than today's spot price. Nobody is lining up to sell a lot of oil for 5 cents a gallon.
Buy a little of the ETF USO if you want to follow along. It's really cheap lol. You can't get hurt too bad from here.