Can someone tell me a stock an individual can buy that mirrors the price of light crude oil?

Question

I'm questioning if buying a gasoline stock such as Exxon or Chevron have a direct correlation to the price of Light Crude Oil. Is there any specific stock or index fund that mirror this price (similar to "qqqx" for the nasdaq or spy for the "S & P")

Answer 1

what?'s answer to this question is very good.  I agree that USO would be the better choice.  I would add that USO trades with a much greater volume and you can trade options on it as well.  Good luck to you t r

Answer 2

USO tracks the price of West Texas Intermediate Light Sweet Crude Oil (less expense ratio of the ETF, of 0.50%).

OIL will do pretty much the same thing, except it tracks the GSCI Crude Oil Total Return Index, and is set up as an ETN rather than an ETF.  It's expense ratio is a bit higher, as well, at 0.75%.

There are many others, but I believe that these are the two largest in terms of Assets Under Management.

If you want to get into a basic crude fund, I would suggest USO over OIL because of the expense ratio - I know 0.25% difference isn't much, but you don't get anything extra from OIL to make it worth the additional fee, however small it is.

Answer 3

Oil stocks do not track the price of oil. The only way to do that is to trade oil futures. Then that would make you one of those evil speculators that Barack Obama and all the Democrats want to destroy. Goo luck.