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we have no basis to conclude that the commodity futures
traded by petitioner during the years in issue fall within
any of the five categories. First, petitioner does not
claim that the commodity futures were stock in trade or
inventory of his trade or business, the category described
by section 1221(1). In this connection, we note that
petitioner asserts that he was in the trade or business of
"being self-employed, free lance writer/self-publisher"
during the years in issue. Petitioner does not claim to
have been in the business of trading commodity futures
during 1989 and 1990. Second, commodity futures are not
property "of a character which is subject to the allowance
for depreciation", the category described by section
1221(2). Third, commodity futures are not "a copyright, a
literary, musical, or artistic composition, a letter or
memorandum, or similar property", the category described by
section 1221(3). Finally, petitioner does not contend that
the commodity futures are "accounts or notes receivable",
the category described by section 1221(4), nor does
petitioner contend that they are "a publication of the
United States Government", the category described by
section 1221(5).
Notwithstanding the above, petitioner contends his
losses from trading commodity futures are deductible as
ordinary losses. Petitioner asserts that he opened the
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