Comment Text:
10-005
COMMENT
CL-00168
From:
Sent:
To:
Subject:
Bob Acker
Saturday, April 24, 2010 11:02 PM
Metals Hearing
Comment on the issue of position limits on precious metals futures.
Dear Gentlemen :
It has come to my attention that extremely large positions are being taken by corporate traders
working for the nations []largest banks (with access to very large leverage) in the precious metals
futures markets. []In my opinion, these large positions are used to manipulate the futures market
price, and also thereby (since the spot price is calculated by reference to the near futures price)
manipulating the spot price for the commodity. []These large positions IMHO are taken directly to
manipulate the futures and spot prices. []The price discovery[function[of the[markets[has been
distorted and[arguably[has been broken.
Your role is to protect the proper functioning of the market. []Please recognize that and exercise
your function, in particular:
1. Please establish a speculative position limit in COMEX silver of no more than 1500 contracts.[[
2. Please restrict any hedging exemptions from those limits to legitimate hedgers -- not large
financial institutions.
3. Please stop the levels of concentration in COMEX silver futures that have been experienced over
the past few years on the short side of the market.
Sincerely,
Bob Acker, Colorado Front Range.
