International Investing

This is the first time I’ve heard the term that The FT defines as:

In the pits, physical or electronic, that means betting against the certainty that commodity index investors’ positions are rolled in a mechanistic manner every month, in known patterns on particular days.

The index is huge (412,916 of the 1,779,250 long positions) and mechanical - it rolls the same day every month which makes it easy prey for speculators. It won’t last forever - the oil roll yield was free money when the markets showed backwardization, when they went contango a lot of people lost. Eventually this will be arbed out of existence.