Here is update on Crude Price Manipulation/Speculation investigations – ongoing 6
months since Dec 2007 by CFTC with help ICE & FSA. But I agree with UK trader – if they haven’t already found it given all the big moves like the $135 shift causing all wrong way bet covering, then this is going end up being just lip service for Congress & they wont find anything.
Speaking of Congress when idiots had Oil companies on carpet one more time for high Gasoline prices – Marathon, COP & Exxon did creditable job of putting forth the speculation as major cause or price increase. Now I wonder why Congress has never called any Wallstreet groups in for a grilling session ……. guess not as good headlines for political races as Oil Co’s for unenlightened masses?
All Oil companies over the years have lost their shirts when they shifted from fundamentals to speculation – and although crude has been mostly up market since heavy speculation started (Stupid Fed rate lowering started this mess with Wallstreet bucks shifting out of Cash vehicles & into commodities) there is no way this can be legitimate given kind losses the short covering/wrong way betting would have caused normally. So Nymex & Wallstreet have to be doing something along the lines of the Nymex Director NG & traders that were caught (ie placing trades to themselves after they saw which way market was moving, and before they entered legit hedging fundamental moves).
Good news – they are off their butts & looking, Bad news – it is most bureaucrats that caused lot problems looking with Wallstreet groups that have to be enabling some this process.