why UNG more popular than USO?

Discussion in 'ETFs' started by increasenow, Jan 14, 2010.

  1. why is UNG more popular than USO?...Gas over Oil?...hmm..please explain...thanks!
     
  2. because people are obsessed with what they've lost money with.
     
  3. 1) UNG is lower-priced than USO. Traders can be attracted to cheaper stocks.
    2) Natural gas is intrinsically more volatile than crude oil.
    3) Natural gas is a domestic commodity with clearer fundamentals.
    Crude oil is an international commodity with opaque fundamentals.
    4) Natural gas is perceived as being an alternative energy source, not a fossil fuel with growing demand prospects.
    5) Natural gas can be seasonally more volatile during the Winter compared to crude oil. :cool:
     
  4. great answer...also, the options on UNG have more volume than USA...thanks...great insight...appreciate it