FM trader Jon Najarian thinks that may, in fact, be the case.
For your consideration, the major gold ETFs such as the GLD now hold more reserves of the precious metal than Switzerland.
On top of that, highly leveraged ETFs such as the SDS which is double short the S&P 500 are sucking inexperienced investors into risky trades and manipulating the market averages in the process.
Jeff Macke recommends using ETFs cautiously, They’re not for buy and hold. ETFs such as the SDS are like dating a stripper, he says. “It’s fun but it’s not going to end well. Don’t hold them overnight.”
Jon Najarian has a lot to say on this issue. To hear his full explanation watch the video above!
______________________________________________________
Got something to to say? Send us an e-mail at fastmoney-web@cnbc.com and your comment might be posted on the Rapid Recap. If you'd prefer to make a comment but not have it published on our website send your e-mail to fastmoney@cnbc.com.
Trader disclosure: On Feb. 27th, 2009, the following stocks and commodities mentioned or intended to be mentioned on CNBC’s Fast Money were owned by the Fast Money traders; Najarian Owns (DNA) Calls; Najarian Owns (DOW) Call Spread; Najarian Owns (FCX) Call Spread; Najarian Owns (GDX) & (GDX) Short Calls; Najarian Owns (GS) Call Spread; Najarian Owns (MSFT); Najarian Owns (MS) & (MS) Short Calls; Najarian Owns (MOS) Stock; Najarian Owns (V) & (V) Calls; Terranova Owns (OTS), (DIS), (FXC), (XBI), (BRCM), (WYNN), (INTC), (DELL), (JOYG); Terranova Owns (AMGN) & (AMGN) Puts; Terranova Owns (IBM) Call Spread; Macke Owns (MS), (GS), (SDS), (TM); Finerman's Firm Owns (MSFT), (RIG); Finerman's Firm Owns (DNA) & (DNA) Calls; Finerman's Firm Owns (BAC) Preferred; Finerman's Firm Owns (WFC) Preferred; Finerman's Firm Is Short (IYR), (IJR), (IWM), (MDY), (SPY), (USO)