Comment Text:
In short, I am in support of the position limit of 1500 contracts. I stopped trading commodities in 2005 after realizing that non-capped purchases of positions clearly set the stage for manipulation. As I have continued to pay attention to the market, my assessment is confirmed on a weekly basis. Most recently is the down turn in the metals market. During a time of crisis , as in Japan, the off hour short moves in silver clearly indicates someone had the ability to drive the market. This move was completely opposite of a crisis move.
When the CME/CFT/SEC and any other alphabet organization decides to regulate, enact and enforce position limits, I –along with hundreds of thousands of others- will be happy to enter back into the fray of commodities trading. I am also sure the my broker, RJ Obrien would love my business back. Until then, enjoy the unlimited purchase of contracts by a small group. After all, the CME must be happy with the current revenue it acquires. I am sure that adding a few hundred thousand traders would overwhelm the coffers at the CME but that probably cannot be handled.
