View Single Post
  #5 (permalink)  
Old 08-04-2008, 10:32 AM
David Waring's Avatar
David Waring David Waring is offline
Administrator
 
Join Date: Nov 2007
Location: Miami, FL
Posts: 3,226
Default

Hey MDM,

Glad to hear from you.

The places where there is the most saber rattling towards speculators are going to be anywhere an argument can be made that the "common man" is hurt by what people consider excessive speculation.

Right now, the two biggest places where the argument is being made that this is the case are commodities and the financials, where people feel that excess speculation has lead to people having to pay increased prices for basic necessities such as fuel for their cars and that the financial system is being put at risk because of short sellers of the financials.

In the future it will be some other financial instruments but the story will most likely remain the same. The question that I would ask is that if short sellers start to enter the market in mass and drive the price of oil below what many consider to be the true "fundamental value" of oil, how quickly will the saber rattling against speculators go away in that market? Pretty quickly I would bet.

Best Regards,
Dave
__________________
Disclaimer: Trading is risky and can result in substantial financial loss. As always my posts are simply one traders opinion and should not be taken as trading advice. I am not a financial adviser so everyone please do their own analysis and take responsibility for their own trades.
Reply With Quote