logologologologo
  • Home
  • Business
  • Markets
  • Exchange
  • Investment
  • Personal Finance

Gas ETFs To Fill Your Tank

Gas prices have reached record highs this year, breaking one set in 2008, not accounting for inflation.

While the price of crude oil is the significant influence on gas prices, it’s not the whole story. Back in 2008, the price of a barrel of oil exceeded $140, with gasoline peaking at $4.11 per gallon. A barrel of oil has topped out today at approximately $120 a barrel, with gasoline exceeding $5 per gallon.

The national average price of gasoline fell this month, as states like New York, Georgia, Florida and Connecticut suspended state gas taxes.

In the ETF world, there is only one pure-play gasoline ETF. The United States Gasoline Fund LP (UGA) is designed to track gasoline prices. Its objective is to provide results corresponding to “the daily changes in percentage terms of the price of gasoline (also known as reformulated gasoline blendstock for oxygen blending, or “RBOB”), for delivery to the New York harbor, as measured by the daily changes in the price of the Benchmark Futures Contract, less UGA’s expenses.”

UGA is invested in “listed RBOB futures contracts and other gasoline-related futures contracts and may invest in forwards and swap contracts.” According to the fund, UGA offers “commodity exposure” without using a commodity futures account = including features like intraday pricing, as well as market, limit and stop orders.

A traditionalist might look at the energy sector overall and want to play it long or short leverages without identifying the subcategory like one would if pursuing gasoline.

The Direxion Daily Energy Bull 2x Shares (ERX) and the Direxion Daily Energy Bear 2x Shares (ERY) seek daily investment results, before fees and expenses, of 200%, or 200% of the inverse (or opposite), of the performance of the Energy Select Sector Index. These funds track a commodity-related equity index, consisting of a basket of energy-related stocks, and do not invest in physical commodities.

There are also unleveraged options, and the Energy Select Sector SPDR Fund (XLE) could fit the bill. This ETF “seeks to provide investment results that, before expenses, correspond generally to the price and yield performance of the Energy Select Sector Index.” The index seeks to provide an effective representation of the energy sector of the S&P 500 Index” and “to provide precise exposure to companies in the oil, gas and consumable fuel, energy equipment and services industries.”

Related posts

March 24, 2023

TikTok CEO fails to convince Congress app is safe


Read more

Categories

  • Business
  • Content
  • Crypto
  • Exchange
  • Inflation
  • Investment
  • Markets
  • Personal Finance
  • Technology
  • Uncategorized

Archives

  • March 2023
  • February 2023
  • January 2023
  • December 2022
  • November 2022
  • October 2022
  • September 2022
  • August 2022
  • July 2022
  • June 2022
  • May 2022
  • April 2022
  • March 2022
  • February 2022
  • January 2022
  • December 2021
  • November 2021
  • October 2021
  • September 2021

Recent Posts

  • TikTok CEO fails to convince Congress app is safe
  • Deutsche Bank and UBS shares hit as banking fears keep tight grip
  • SEC sues Tron founder Justin Sun, Lindsay Lohan, other celebrities over crypto sales
  • Employees are checked out at work more than at any time in history — and it makes no difference if they work from home or not. Here’s why
  • Rolls-Royce ‘Wraith Black Arrow’ marks end of V12 coupe era

About Us

The Alpha Cut a Vida Street LLC Company
1404 N. Ronald Reagan Blvd.
Suite 1120
Longwood, FL 32750

Link

(843) 256-4375
https://thealphacut.com

Why Us

Terms & Privacy
Policy & Procedure
Disclaimer

This material is not an offering, recommendation, or a solicitation of an offer to buy or sell the securities mentioned or discussed, and is to be used for informational purposes only.
Any performance results discussed herein represent past performance, not a guarantee of future performance, and are not indicative of any specific investment. Due to the timing of information presented, investment performance may be adjusted after the publication of this report. There can be no assurance that the future performance of any specific investment, investment strategy, or product made reference to directly or indirectly in this communication will be profitable, equal any corresponding indicated historical performance levels or be suitable for your portfolio.
All data in this communication is provided for informational purposes only and is not intended for trading or investing purposes. We expressly disclaim the accuracy, adequacy, or completeness of any data and content provided by financial exchanges, individual issuers, their respective affiliates and business partners and shall not be liable for any errors, omissions or other defects in, delays or interruptions in such data, or for any actions taken in reliance thereon. You agree not to copy, modify, reformat, download, store, reproduce, reprocess, transmit or redistribute any data or information found herein or use any such data or information in a commercial enterprise without obtaining our prior written consent.
We make no express or implied warranties or representations and shall have no liability whatsoever with respect to any data contained herein. The data may not be further redistributed or used to create indices or other financial products. This report and the views expressed herein are subject to change at any time based upon market or other conditions (such as domestic and global economic trends) and are current as of the date of publication hereof. The information, analysis, and opinions expressed herein are for general information only and are not intended to provide specific advice or recommendations for any individual or entity.
We emphasize that Investment in the securities of smaller companies can involve greater risk than is generally associated with investment in larger, more established companies, and can result in significant capital losses that may have a detrimental effect on the value of your investments.
Forecasting represents predictions of market prices and/or volume patterns utilizing varying analytical data. It is not representative of a projection of the stock market, or of any specific investment.
Nothing contained in this material is intended to constitute legal, tax, securities or investment advice, nor an opinion regarding the appropriateness of any investment. The general information contained in this publication should not be acted upon without obtaining specific legal, tax and investment advice from a licensed professional.
Please remember that all investments carry some level of risk, including the potential loss of principal invested. They do not typically grow at an even rate of return and may experience negative growth.As with any structuring of a portfolio of investments, attempting to reduce risk and increase return could, at certain times, unintentionally reduce returns.
The information, analysis and opinions expressed herein are for general, impersonal information only and are not intended to provide specific advice or recommendations for any individual entity.

copyright © Alpha Cut 2021. All Right Reserved
The Alpha Cut a Vida Street LLC Company