Comment Text:
10-005
COMMENT
CL-01987
From:
Sent:
To:
Subject:
secretary
Thursday, April 8, 2010 1:29 PM
Metals Hearing
FW: Position Limits on Silver Futures/Gold Contracts
..... Original Message .....
From: William Sturm [mailto:[email protected]]
Sent: Thursday, April 08, 2010 1:24 PM
To: secretary
Subject: Fw: Position Limits on Silver Futures/Gold Contracts
..... Forwarded Message ....
From: William Sturm
To: [email protected]
Sent: Thu, April 8, 2010 11:21:20 AM
Subject: Position Limits on Silver Futures/Gold Contracts
Dear Sir;
Thanks for giving ordinary citizens like myself an opportunity to make comments on this vital issue.
I realize this is a complex problem because severe changes would 'crash' those with excessive positions.
The problems seem to have been on the short side of these two commodities.
Here is a way to attack the problem. Establish a sliding scale of position limits starting with one 5% below the highest now on
record with a certain date of June 1, 2010.
Then continue on a monthly basis to reduce the concentrated short positions by 5% in silver on July 1, etc.
until the desired level of 1,500 contracts is reached. At that point the official position limits should be carefully monitored for any
changes that might be required.
(Those that currently own the excess positions should be called to a closed session meeting to obtain tacit agreement on the final
scaled approach to correct the situation.)
This, in my honest opinion, has a chance to diffuse the bubbles which now exist.
Sincerely,
William J. Sturm
