Comment Text:
The majority of our citizens are struggling enough in their day-to-day lives trying to find work, or to keep working while wages remain flat or, in the case of sectors affected by globalization, are declining... yet food and energy prices continue to rise. The significant percentage of such rises attributable to investor speculation is intolerable and must not continue. The current situation is not sustainable from either a practical or a moral perspective.
I am writing to voice my support for immediate adoption of the proposed rule on speculative position limits for commodities (RIN 3038–AD15 and 3038–AD16 Position Limits for Derivatives).
Commodities such as energy and food are vital resources to American industries, businesses and consumers first and foremost. Speculators have a role in providing liquidity to the market and helping energy and agriculture companies and consumers manage price risk. But when they dominate these markets (as they do now) they have the opposite effect. They undermine these business’ hedging needs and distort the price discovery functions of the markets.
