Goldman Sachs Group recently warned in a note that China, the world’s second-largest oil consumer and a major driver for global growth, will be trying to ward of another yuan devaluation as investors turn to the USD or Japanese yen and other safe-haven assets, according to the Wall Street Journal.
Investors who are wary of additional weakness in the oil market have a number of bearish options to choose from, like the simple inverse United States Short Oil (NYSEArca: DNO) and DB Crude Oil Short ETN (NYSEArca: SZO).
Related: A Very Bullish Call for Oil ETFs
For the more aggressive, bearish trader, there are number of leveraged options, including the ProShares UltraShort Bloomberg Crude Oil (NYSEArca: SCO), which tries to reflect the two times inverse or -200% daily performance of WTI crude oil, and DB Crude Oil Double Short ETN (NYSEArca: DTO), which also follows a -200% performance of oil. Lastly, the VelocityShares 3x Inverse Crude (NYSEArca: DWTI) takes the three times inverse or -300% performance of crude oil.
United States Oil Fund