By proceeding, I acknowledge that I have read and understood the Disclosure and Copywrite Statements.

I have added a 5% position in United States Oil Fund (ticker symbol: USO) to partially replace the liquidated PIMCO position. USO is an Exchange Traded Fund (ETF) that tracks the physical spot price of West Texas Intermediate Light Sweet Crude Oil. The rationale is that oil prices have corrected approximately 35+% from highs set just a few months ago. I believe this correction is largely a result of short-term oversupply concerns. However, the long-term supply and demand outlook is supportive of higher oil prices.

I believe this is an attractive entry point. Of course, I can’t be sure that this is the bottom. Nevertheless, some material economic, geopolitical, and technical data seem to indicate that a base has been formed around $43. We purchased USO at around $45.83 on Jan. 24. It closed today at $49.14.

I’m watching closely.

Greg

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