USO , huge discount

what is the latest on how many shares of USO would equal

say one CL ( nymex crude oil ) contract ?


I had thought it would be 1000 shares but maybe its more than
that now ?
 
USO is an unleverage oil play. So I believe it is just the NYMEX front month price * barrels per contract, divided by the USO price.

Aaron Schindler
Schindler Trading
 
The inception of the USO was suppose to be funded and backed by oil. The manager made a mistake on the creation units thus you a discount. A better beta ttrade is usethe basket that tracks the etf and its "messed' divisor.
 
Here is an updated chart of USO. I think it is safe to safe say there was a bottom 1/18/07. Big volume spike as well. This thing may correct for a bit as the Iran situation pans out, with gas offsetting.
 

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Is it selling at a discount? Looking at its daily chart and a chart for CLK7, they look like they're tracking each other pretty closely.
 
Update, USO is trading options now. Also I see a new listing for
UNG United Natural Gas Fund which will be similar to USO but will trade front month contract in natural gas. Here is a 60 minute chart of this product. Enjoy!
 

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