Deutsche Bank believes the limitations on issuance may cause an imbalance for the supply and demand of the notes, and may cause the ETNs exisiting to trade at a premium or discount in relation to its indicative value.
DXO finished Aug. 18 up 5.6%, trading at a 1.50% premium to its Indicative Intra-day Value. DXO also had its highest trading volume in more than a month at 15.68 million shares.
United States Natural Gas (UNG) has also stopped issuing new shares in anticipation of CFTC regulations despite being approved for 1 billion more. Yesterday, it traded near a record premium to its net asset value (NAV).
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