http://admin.futuresmag.com/admin/structure/nodequeueHedge funds are not listening to crazy bearish crude oil price predictions like Goldman's $20 a barrel call and instead are amassing its biggest net long position since last April. Oil fund managers are not betting on $20 a barrel oil this week because they increased their net-long position by 16,855 contracts to 132,857 futures and options in the week ending Sept. 8, according to the CFTC commitment of traders report.
The U.S. Comex gold futures has declined 1.21% this week to $1,143.90 and has fallen 2.38% month-to-date. This week, the S&P 500 Index has risen 2.31% and the Euro Stoxx 50 Index has surged 4.21% while the crude oil futures have declined 3.47%.
When the Intercontinental Exchange (ICE) bought the New York Board of Trade in 2006, David Martin understood that his floor trading days were numbered and began to prepare for life as an electronic trader—and eventually as a money manager.
For the U.S. consumer the economic boost provided by lower gasoline costs is hitting at the perfect time. The Federal Reserve just ended their extensive QE stimulus program at the end of October with hope the economy could stand on its own.
With QE nearly finished the Fed now has to outline their plans going forward. Will there continue to be reinvestment of the QE bonds that roll off, what many expect or will market conditions decide that.