Lawmakers Targeting Commodity Trading Rules

Posted by Patrick O'Connor on 5/20/08 11:27 am

What happens when commodity prices hit all-time highs during a presidential election year?  We get more political grandstanding, more regulation, and probably no price relief.

Today Senator Claire McCaskill (D-MO) told the Commodity Futures Trading Commission’s Chief Economist at a hearing in Washington that Americans “are about to pick up pitchforks” because of soaring food and energy costs.  Ms. McCaskill suggested that Congress needs to consider tighter commodities regulation.  Read More

More regulation is not going to solve the global supply and demand issues that are largely responsible for today’s commodity inflation.

How about offering more commodity shorting instruments to the public to counterbalance the predominantly available long-only choices, increasing incentives to citizens and companies that conserve energy, and coming up with some creative solutions that address the negative impacts ethanol mandates have put upon food prices?

More regulation is not a cure-all, Washington.

We want to hear your thoughts!  Comment to this post by clicking the ‘comments’ link below.

To receive email updates from Navellier All Cap Blog, click here.

• 
• Email
• Print
• Comments (0)

No comments have been posted for this entry.

Post a Comment

You must register and log in in order to post comments.