Comment Text:
I am writing to voice my support for immediate adoption of the proposed rule on speculative position limits for commodities.
The commodity markets were created to serve bona fide commercial hedgers as a tool for risk maitigation and as a pricing bellwether that is reflective real-world supply amd demand fundamentals. But deregulation and massive postions held by speculators have distorted these markets.
I urge that the commission strengthen the proposed rule and in light of the growing commodities bubbles that threaten our economic recovery and security, I urge its immediate passage and enforcement.
Commodities such as energy and food are vital resources to American industries,businesses and consumers first and foremost. Speculators have a role in providing liquidy to the markek and helping energy and agriculture companies and consumers manage price risk. But when they dominate these markets(as they do now)they have the opposite effect. They undermine these business' hedging needs and distort the price discovery functions of the markets.
The position limits rule,therefore, will playa a crucial role in reestablishing the true purpose of and help return stability and confidence to these markets.
Again I urge adoption of this rule.
I thank you for your consideration.
Sincerely,
Cheryl S. Foster
