Despite the price of oil, refiners have consistently been a hard trade, partly because they aren’t a pure play on crude’s inexorable rise as oil is an input cost. But that’s not stopping Karen Finerman from finding a trade anyway. She’s looking at Valero – particularly, the July $45 options.
It’s a risky trade because there are so many moving parts. A big turn in anything, from the crack spread to the price of a barrel to demand, the price of a stock like Valero can be hard to predict. But the July calls are attractively priced, Finerman said.
