Comment Text:
I am happy to be able to comment on this issue after viewing the movies "Wall Street" and "Wall Street 2". We know from many sources that it was excessive speculation, at times only in the interest of greed, that caused the economic crisis recently in the USA.
I applaud the Commission’s efforts to implement the Dodd-Frank Act as thoroughly as possible especially reforms aimed at limiting excessive speculation in food and energy commodities. We don't need any more "bubbles, especially in food and energy. The proposed speculation limits must be implemented.
My sources of information insist that the only exemptions should be to businesses that deal in physical commodities (like farmers, gas stations, etc.). Do not give any exemptions to banks, hedge funds or other financial players.
Congress called for exemptions from these limits for bona fide hedgers. I ask that the Commission define that term in the strictest sense possible, limiting exemptions to businesses that deal in physical commodities and use markets to hedge commercial risk in those commodities. Banks, hedge funds, private equity and all passive investors in commodities should not be deemed as bona fide hedgers. Institutions hedging price directional bets such as commodity index swaps, Exchange Traded Funds and Exchange Traded Notes also should not be considered as bona fide hedgers.
Thank you for your consideration, and for your action for the common good !
Lelia Mattingly
Ossining
New York
