Comment Text:
As a business person who sees the significant negative impact to consumers, PLEASE implement limits on commodity trading. The most recent run up of oil prices is ridiculous. It's March, we have the highest oil reserves we've had in years, and only 13% of the US crude comes from the entire Persian Gulf, so why the crazy uptick in prices? The political climate in Libya is not a sufficient excuse, but investors on Wall Street are making BILLIONS off the backs of everyone else and using political unrest as the excuse. I personally know of family owned fuel dealers in New England that have lost their businesses because of hedge challenges brought on by outrageous market speculation and their inability to weather the extreme events. Over the last several years, significant numbers of consumers have turned to price protection plans to help them manage their heating expenses. Over the last 5-6 years, the cost of downside protection for those programs has gone from about a nickel/gallon to over 30 cents/gallon in response to the ridiculous speculation going on. Who pays for all this volatility? Consumers. Who profits? Speculators.
In the last two weeks, in a 48 hour period, propane costs at Mont Belvieu went up $1.20/gallon. There was no supply and demand issue that created that situation.
Over the past month, heating oil has climed in nickels and dimes by the day. Again, there was no significant supply or demand problem to create that situation.
How much longer does this need to go on?
