Comment Text:
10-005
COMMENT
CL-00975
From:
Sent:
To:
Subject:
Scott & Anne Nickerson
Sunday, April 11, 2010 9:48 AM
Metals Hearing
position limits in metals trading, hearing of 3/25/10
To:
Secretary of the Commission
Commodity Futures Trading Commission
Three Lafayette Centre
1155 21st Street NW
Washington, DC 20581
Dear Sir or Madam,
I would like to comment on the issue of position limits for precious
metals. Please establish a speculative position limit in COMEX silver of no
more than 1500 contracts. This would be rationally comparable to limits
in other commodities. Please restrict any exemptions from those limits to
legitimate hedgers controlling actual physical metals.
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. This huge concentration of short positions enabled by an
absence of position limits can allow a very few large entities to subvert
the price discovery functions of the market. Your investigative agents
have recently been led through such scenarios as they were occurring by
traders interested in restoration of confidence in free markets.
Please do your best to prevent future manipulative crimes by either
long or short traders. Only in this way can the futures markets function
to discover price and avoid serious damage and possible destruction in
the future.
Sincerely, D. Scott Nickerson
4/10/10
