Dec 6, 2004

CAO was Short Oil

I found it interesting that CAO went bankrupt shorting the price of oil. It makes sense given they went bankrupt near the top but I had thought they just levered up too much and got burned by recent volatility or had a trader putting bad trades in the drawer. Apparently they did not receive the memo that commodities are in a multi-year bull market and bet the wrong way as a firm.

This news makes it more likely to me that oil has put in a 6 month top.


  1. hey man.
    liked your blog.
    I am a trader also, in an emerging market.
    care to talk to me about the market??
    me: casiusluxus.
    just started bloggin´
    check u later.

  2. Appreciate the comment. I will check it out.