I was watching Business News Network and found myself supporting Don Coxe chairman of Coxe advisors.
The Commodities Futures Trading Commission, CFTC, wants to put a limit to the position that traders can take on the energy futures market. The market did its job, those who speculated and drove the price of oil to unsustainable values lost money, why does the Obama administration want to act like it is doing something.
I am not against big business, I am against them only when they get undue support from the government. They speculated they lost, there is no need for further regulation, the market had already regulated them out.
Speculation always collapses, that is why it is called a bubble, people think they will make money in speculation because prices are going up, people think they will go up for ever but guess what, when they are too high nobody wants the product and it will come flat on its face. Does the
Rather than blessing the market for the falling prices and self correcting, these masters of deceit come up and say the market does not work, well it just worked and you protected your buddies from the punishment the market had dished out to them. The market does not guarantee good times for ever, it clear says that if there is too much something must give.
The market worked, the CFTC should look out for crooks and not disturb innocent people. Limiting the position means if somebody is sure the price will rise, they can not hedge their bets as much as they like because somehow that is unfair. Unfair to whome one might ask.
Putting these limits and not allowing the futures market to do its job is shameful. Please do not speak of freedom when you really just want to meddle.