Comment Text:
After reviewing Futures trading/options from the websites pages:
In each of these graphs view the lifetime prices:
1) https://tradingeconomics.com/commodity/live-cattle:
2) https://tradingeconomics.com/commodity/wheat
3) https://tradingeconomics.com/commodity/gasoline
4) https://tradingeconomics.com/commodity/crude-oil
Views lifetime values. You will notice a direct correlation between market shifts from stocks to futures.
The trend shows that futures have deviated from the intent of markets to ensure the viable cost of goods delivered. IE Airlines and Trucking firms to predict costs, or farmers to ensure market prices.
Meat prices are not a reflection of domestic production, and farmers, especially small farmers, are NOT being paid properly, unless they are wealthy and can purchase futures. I'm all for farmers to keep their product on hand until a favorable cost for their products.
1) https://www.ers.usda.gov/webdocs/publications/99518/eib-219.pdf < page 27
However, markets are out of balance when anyone can purchase contracts for goods.
My suggestion to correct markets is to pass regulations requiring purchasers of contracts to prove they have the capacity to take/consume those contracts. IE bringing back the intended purpose of futures contracts. So large consumers can budget properly for future prices.
Violations should include fines for first time infractions, with felony charges for repeat offenders.
Attached document includes the listed citations;
