The Rage Against Derivatives Speculators Is Unfounded Speculation, Congress & The Price Of Oil Lately, the equity marketâs daily fixation on the price of oil and corn has created a lot of consternation in Washington. As a result, there has been a lot of finger pointing by Congress as to just who is the culprit in all of this. Just last week, simultaneous proposals were floated in the Senate with the goal of eliminating certain types of investors from the commodity markets. Citing âspeculatorsâ in the market as the cause of high energy prices, Senator Joseph Lieberman of Connecticut disclosed he was considering a proposal that would bar large institutions from investing and trading certain commodities. Recently, on both conservative and liberal talk shows alike, there seems to be a newfound rancor towards âspeculationâ in the marketplace. This appears to be another case of misguided perception. By confusing âspeculationâ with âmanipulationâ, the public is being led in the wrong direction. Those of us who earn our living in the markets know that speculators play a vital role in their proper function.... rest of the article posted here: The Rage Against Derivatives Speculators Is Unfounded
unfounded or not they are easy targets that both parties can use to redirect the focus from the real problem.
Much of which is congress itself. But then many of our problems could be accurately described that way.
When people like John Corzine, ex-CEO of Goldman say speculation is the problem, columnists and ET posters can safely be ignored.
Yeah, any way you look at it, writing in a obscure "blog" telling congress to "get off the yacht" really is not the solution. So many with an opinion, so few with a solution. Yawn, this bores me now. But, I'm glad that my 401k owns 400 billion barrels of oil, cause, that'll come in handy when I do decide to retire. thank you!