Can I buy a Commodities (oil) contract without it being a "future" ?

[Kard63]

clm15 expires in 5 years and costs $72 a barrel.... yuk. Can I just buy 1,000 barrels for $40 a barrel now and keep it until I want to sell it? I don't want to take possession of the oil or store the oil. I just want an I-owe-you.

[gideongallery]

Originally Posted by Kard63

clm15 expires in 5 years and costs $72 a barrel.... yuk. Can I just buy 1,000 barrels for $40 a barrel now and keep it until I want to sell it? I don't want to take possession of the oil or store the oil. I just want an I-owe-you.

so you want to buy oil at todays prices
have the oil company store it for you
until the price get high enough that it worth selling at a profit.

do you understand anything about the purpose fo the commodites market.

[Penthouse Tony]

You can buy a thousand shares of this http://moneycentral.msn.com/investor...rue&Symbol=USO

[JakeR]

Originally Posted by Kard63

clm15 expires in 5 years and costs $72 a barrel.... yuk. Can I just buy 1,000 barrels for $40 a barrel now and keep it until I want to sell it? I don't want to take possession of the oil or store the oil. I just want an I-owe-you.

[Magnus]

Options & shorts but you better be watching that shit daily and picking good strikes.

[Kard63]

Originally Posted by gideongallery

so you want to buy oil at todays prices
have the oil company store it for you
until the price get high enough that it worth selling at a profit.

do you understand anything about the purpose fo the commodites market.

No, I do not understand anything about the commodities market. I don't want them to store it for me or set it aside. Just owe it to me. Give me a contract. They can use the oil, just give me 1,000 barrels when I say I want it (of course I would never say I want it I would sell the contract).

[Kard63]

Originally Posted by Sagi_AFF

You can buy a thousand shares of this http://moneycentral.msn.com/investor...rue&Symbol=USO

Umm oil is $40 a barrel. How closely is this linked to the price of oil?

[seeandsee]

that would be nice profit

[Penthouse Tony]

Originally Posted by Kard63

Umm oil is $40 a barrel. How closely is this linked to the price of oil?

This one doesn't seem to follow just oil barrel prices "The fund will invest in futures contracts for WTI light, sweet crude oil, other types of crude oil, heating oil, gasoline, natural gas and other petroleum based-fuels that are traded on exchanges".

Maybe someone knows of a better Oil ETF?

[woj]

Buy some company/ETF that drills/sells oil, the price of the stock will move as the price of oil moves AND you will make some dividends along the way too...

[sandman!]

are you slow ?

you already posted the same thread i remember replying too weeks ago with the same question.

[Big Red Machine]

Originally Posted by Magnus

Options & shorts but you better be watching that shit daily and picking good strikes.

definitely go with an option...cheap outta the money calls if you think its going back up
Option prices move more than the underlining commodity if theres volatility. Give yourself enough time with the option

Good Luck

[Kard63]

Originally Posted by sandman!

are you slow ?

you already posted the same thread i remember replying too weeks ago with the same question.

I almost linked to that thread from this one but it had too many people telling me "what you want is futures". I'll go back and read your post. If you posted a solution that is actual oil market value and not futures I am a retard. Thanks

[sandman!]

Originally Posted by Kard63

I almost linked to that thread from this one but it had too many people telling me "what you want is futures". I'll go back and read your post. If you posted a solution that is actual oil market value and not futures I am a retard. Thanks

let me explain how you buy oil.

you buy a future with a date lets say the date is March 1st on march 1st you become the owner of the oil in question unless you sell the future before then.

there is no other way to buy oil that i know of and most people that will post in your thread are idiots and wont get anywhere near your question.

if you are in the usa and need a brokers to explain it to you i know a few brokers.

if your not in the usa find yourself a broker spend the 10 min's on the phone with him and ask your questions.

[After Shock Media]

Kard63 why would someone let you get an oil IOU for 1,000 barrels that you can cash in at any time in the future? I mean what would be in it for them, the 40,000 in cash they can already get right now? Leaving futures off the table since you claim you do not want them.
What happens if you buy 1,000 barrels today at 40 each and then next week it drops to 30 bucks a barrel? Or in your mind should you be allowed to hold onto it for as long as you want through stagnate periods and lows, until it reaches an acceptable high where then you would sell it at a profit? Without ever actually having it in your possession.

[Kard63]

Originally Posted by sandman!

let me explain how you buy oil.

you buy a future with a date lets say the date is March 1st on march 1st you become the owner of the oil in question unless you sell the future before then.

there is no other way to buy oil that i know of and most people that will post in your thread are idiots and wont get anywhere near your question.

if you are in the usa and need a brokers to explain it to you i know a few brokers.

if your not in the usa find yourself a broker spend the 10 min's on the phone with him and ask your questions.

I spent 10 minutes on the phone with two brokers today. They were not very helpful and wouldn't tell me what is possible outside of the services they offer. That said, I do not want to invest in oil if I have to do via a contract that expires (or says I must purchase on a certain date, like a future) or if I have to take physical possession.

Originally Posted by After Shock Media

Kard63 why would someone let you get an oil IOU for 1,000 barrels that you can cash in at any time in the future? I mean what would be in it for them, the 40,000 in cash they can already get right now? Leaving futures off the table since you claim you do not want them.
What happens if you buy 1,000 barrels today at 40 each and then next week it drops to 30 bucks a barrel? Or in your mind should you be allowed to hold onto it for as long as you want through stagnate periods and lows, until it reaches an acceptable high where then you would sell it at a profit? Without ever actually having it in your possession.

The upside would be them getting to use that 1,000 barrels of oil from the time I make my purchase until the time I sell without ever paying anything. If it went down $10 a barrel and I sold I would lose $10 a barrel. If I don't want to sell I wont sell. How is this confusing? I want to buy some stuff that I dont want to take possession of because of transportation and storage costs so I am willing to loan it to a company for free. All they have to do is pay me back for it when I ask. They might get a loan for 10 years for free. I am amazed that doesn't exist.

[After Shock Media]

I give up.