• 3 minutes Nucelar Deal Is Dead? Iran Distances Itself Further From ND, Alarming Russia And France
  • 5 minutes Don Jr. Tweets name Ukraine Whistleblower, Eric Ciaramella. Worked for CIA during Obama Administration, Hold over to Trump National Security Counsel under Gen McCallister, more . . . .
  • 9 minutes Shale pioneer Chesepeak will file bankruptcy soon. FINALLY ! The consolidation begins
  • 12 minutes China's Blueprint For Global Power
  • 42 mins Pioneer's Sheffield in Doghouse. Oil upset his bragging about Shale hurt prices. Now on campaign to lower expectations, prop up price.
  • 7 hours Tesla Launches Faster Third Generation Supercharger
  • 46 mins EU has already lost the Trump vs. EU Trade War
  • 8 hours Passerby doused with flammable liquid and set on fire by peaceful protesters
  • 43 mins ''Err ... but Trump ...?'' #Humph
  • 10 hours Who writes this stuff? "Crude Prices Swing Between Gains, Losses"
  • 1 hour China's Renewables Boom Hits the Wall
  • 22 hours Joe Biden, his son Hunter Biden, Ukraine Oil & Gas exploration company Burisma, and 2020 U.S. election shenanigans
  • 17 hours Climate Change Consensus Shifts in Wind, But Gas Is Still the Right Move
  • 23 hours Atty General Barr likely subpeona so called whistleblower and "leaker" Eric Ciaramella
  • 21 hours Does .001 of Atmosphere Control Earth's Climate?!
  • 22 hours Trump Interview On Farage's Radio Show #classy

Could this be the Trade of the Decade?

This could be the most important column I write all year – and I wanted to write it when the ‘free view’ period was done and only those who had paid their hard earned money had access.  I’m about to give you what I think is the best investment I see right now, one that strikes me as having the best risk/reward and available to any subscriber, given just a little work.  

You need to be long contracts in the far back of the crude oil curve, with a holding period of at least 18 months.

Yes, it’s a long-term investment and yes, it has margin responsibilities that other equities and ETF’s don’t.  But it also takes advantage of a consistent and important mispricing I see in the oil market that delivers a most tasty risk/reward opportunity.

First, buying contracts in the futures market a year and a half or more from delivery takes fantastic advantage of the current shape of the crude curve – a steep backwardation.  That means that the pricing of crude contracts as you move further out into the future cost less and less.  How much less?  Well, with prompt crude for October of 2013 trading at $108 or so, prices for March of 2015 are pricing at slightly under $90 and for December of 2015 at $87.   That’s a $20 discount for crude prices less than two years from now.  

I consider that $20 to be a true buffer that you can rely upon, helping to greatly increase the…




Oilprice - The No. 1 Source for Oil & Energy News