Thread by @ErikSTownsend

1/THREAD: #OOTT CRUDE OIL TRADER QUIZ

Please ask yourself, "Who will buy CLM0 futures between April 28 (Thu) and May 19 (expiry).

Think hard about your answer before reading the rest of this thread!

@JavierBlas

@JavierBlas 2/ If your answer involved retail investors buying thru an ETP, forget that. USO, the biggest crude ETP will be out of CLM0 by tomorrow's close. The other ETPs are following suit. ETP inflows will go to later contracts only.

@JavierBlas 3/ If your answer involved anyone trading from a retail futures account, forget it. Most FCMs (futures brokers) have forbidden their clients from opening orders on Jun or Jul CL futs. Retail CANNOT buy this contract.

@JavierBlas 4/ If your answer involved guys with empty storage tanks buying to the cheap to arb the M/N contango, you can forget that, too. There are no guys with empty storage tanks left. All storage in Cushing is spoken for.

@JavierBlas 5/ If your answer is everyone who front-ran USO's present roll out of June will be covering their shorts into tomorrow's close, you get a few consolation points for understanding the market. But the question was starting THURSDAY April 28. Those shorts will cover before then.

@JavierBlas 6/ Ok, with all those possibilities ruled out, I ask you again, who will be a BUYER for /CLM0 from Thursday of this week thru expiration?

I say nobody, but I welcome enlightenment if I'm missing something.

/END THREAD

@JavierBlas 7/ ADDENDUM! I FREAKING HATE THE LACK OF AN EDIT BUTTON!!!

I meant to say from THURSDAY APRIL 30, not April 28. Didn't notice my typo until I finished the entire thread. #^(*(&$^!