Comment Text:
10-002
COMMENT
CL-04277
From:
Sent:
To:
Subject:
p.j [email protected]
Tuesday, April
13, 2010 11:59 AM
secretary
Proposed Speculative Position Limits on Energy
Peter Reynolds
1024 Edinborough Dr
Durham, NC 27703-8489
April 13, 2010
David Stawick
Secretary, Commodity Futures Trading Commission
Three Lafayette Centre
1155 21st Street, NW
Washington, DC 20581
Dear Mr. Stawick:
I am writing in support of the CFTC's Proposed Federal Speculative
Position Limits that will reestablish speculative position limits on maj or
energy commodities. This rule will provide stability to the marketplace
and help prevent future price bubbles. The CFTC must quickly approve a
strong rule to protect America's struggling economy.
Wall Street's speculative trading in oil not only hurts the economy, but
hurts every American who pays excessive prices at the pump, for groceries,
home heating oil and everything related to transportation. It is the
large Wall Street institutions we had to bail out recently who were the
ones that pushed the price of gasoline well past $4 per gallon in 2008 by
gambling on oil. They continue to speculate and profit at every
American's expense. Rampant oil speculation by large Wall Street trading
firms has resulted in extreme volatility in energy markets and unwarranted
price spikes in recent years.
Given that supplies are at record highs and demand remains weak,
fundamentals cannot explain recent price hikes and destructive price
swings. Unless the CFTC adopts the proposed rule, markets will continue to
fluctuate wildly. Position limits existed in energy markets until 2001
and currently apply to agricultural commodities.
CFTC should use its existing experience to regulate position limits of
speculators and prevent excessive concentration in the energy markets,
while ensuring that exemptions to these limits afforded to real physical
players such as fuel cooperatives, public utilities, truckers and airlines
are not exploited by big banks and billionaire investors. Energy consumers
desperately need stability in the marketplace.
I encourage the CFTC to adopt the Proposed Federal Speculative Position
Limits before volatile fuel prices further harm the country's already
weakened economy.Sincerely,
Peter Reynolds
919 824 2802
i0-002
COMMENT
CL-04277
