Comment Text:
My comments have been previously submitted to the Commission members, but I will reiterate my concerns about how a large bank, specifically JP Morgan Chase, and other large commercial traders have manipulated the silver market before and since JP Morgan assumed the assets and liabilities of Bear Stearns in 2008.
Fair and appropriate position limits in silver should be NO MORE than 1,500 contracts, or 7.5 Milliion ounzes. For all other commodities, including oil futures, there are NONE that control over 30% of the market. Permitting such to occur in the silver market is outrageous and does not permit a fair and orderly price to be set by orderly market actions. More to the point, there appears to be outright fraud and manipulation with such large and concentrated positions and this should not be permitted to continue.
I submit that the current proposed limit of over 5,000 silver contracts WILL NOT SOLVE THE PROBLEM OF MANIPULATION IN SILVER! I regard this proposed comprimise as an attempt to appease JP Morgan and is not a courageous action by the Commission.
The 1,500 contract limit in silver futures is the correct amount and is still greater than any other current concentration in physical commodities traded on the COMEX. This has been clearly demonstrated by Mr Ted Butler in his communications for years.
I urge the Commission to NOT be "cosy" with the large traders, but rather fufill its obligation to the pending new Dodds regulation and permit silver futures to be an open and fair market.
