The snowball is starting to turn into an avalanche as it relates to the June 2020 oil futures contracts. Now, everybody is headed for the exits, including one of the fund industry's biggest names.
Following the lead of funds, such as the United States Oil Fund (USO), iShares announced this week that it's going to roll any positions in the June 2020 crude oil contracts in all of its commodity-related indices forward to the July 2020 expiration.
Why are they doing this? Clearly, they think there's a chance that the June contract could go to zero just like the May one did and they want to get away from any potential losses in that scenario.
This post was originally published to my blog on WhoTrades. Click HERE to check out the rest of the blog post.