Comment Text:
Dear Chairman Gensler and other CFTC commissioners:
I support the imposition and enforcement of a 1,500 contract position limit in silver. I have been following this market for some time, and believe the only way the commission can establish some credibility in terms of overseeing this market is to set a position limit at this level to prevent the on-going manipulation of the market by large trading entities. If J. P. Morgan, HSBC, and their cronies are allowed to continue to manipulate this market as they have for the last number of years, not only the other smaller traders in this market will continue to suffer from their stealing, but the integrity of the whole futures market will be called into question, as well as the commission's credibility. Enforcement should include ensuring that they are precluded from setting up other entities to expand their influence on the market, or collude with each other to manipulate it further.
I further believe that past practices by these entities should be examined for possible criminal prosecution, or at least potentially large economic sanctions. Perhaps if some jail sentences or large fines were imposed for previous market manipulations, the attention of senior managers of these firms can be obtained, and some internal discipline established within those companies. If your staff is unable to perform the necessary research to support such prosecutions, perhaps they can consult with the London-based trader who so famously advised commissioner Chilton in advance of one such manipulation a couple of years ago. If he is not available, I'm sure there are any number of other observers of this market who would be more than happy to offer suitable examples that could be examined.
I will be very interested to see what actions you take regarding this matter. As commissioner Chilton commented regarding his vote on this rule, it is already past time to enact such requirements, both according to the supporting legislation, and just, finally, in the interest of "ensuring the integrity of the futures and options markets". We are watching you in the hope that something will finally be done to address this on-going manipulation which your predecessors have ignored for far too long.
Regards,
Fred Schurkus
