Comment Text:
Chairman Gensler
Please approve the staff's position limits, including limiting exemption to hedgers. Also, I request you please readjust the proposed formula for silver.On an all months combined basis, 5,000 contracts is the equalivent of 25M ounces of silver, an excess when considering the realties of the silver market.
There are only three mining companies that produce more than 25 M ounces each year in the entire world, and only a similar number of industrial consumers using more than 25M each year.
Any speculator holding an amount of silver derivatives greater than 99% of the world's silver producers & consumers make or use in one year would have a disruptive influence on market pricing . The purpose of speculative position limits is to prevent these market disruptions.
A 1,500 contract (7.5M oz.) position limit for silver seems far more appropriate.
Sincerely,
Thomas Holdsworth
