oil speculators

I was watching the financial news today, and they had some wall street traders on. They were complaining about the Dodd Frank bill, it has cut down on options speculation, to the point that many big firms have closed their trading desks, that the oil market is now driven by supply and demand? I would think that that is a good thing, but wall street thinks otherwise?

It seems supply and demand sometimes now days is more manipulating the market in most everything.

Exactly what the market needed. Get the greed and manipulation out of it. If only we could get the corn market like that. You contract it you deliver would make for a real market instead of profit and loss for traders

Don't worry; they'll think of a new way to fleece investors. I see they are doing ZERO down mortgages again; that will eventually cause another collapse of the real estate market.

None of them ended up in prison out of the last mortgage scheme, so they are just recycling that one until they think of another scheme.

Yep Im glad the oil market is down,it helps us as Ordinary working Americans more than ANYTHING
Maybe we will reconsider the Keystone Pipe line that is going to be constructed to ship OUR oil to OTHER countries and not for OUR use!!!!!
WAKE UP AMERICA !!!

The banks and mortgage company's do not regulate them selves. The so called schemes are rules that must be followed to qualify for the regulated low interest rates thru the printing of unbacked money so they can loan money. The elected rule makers scream that it is wall streets fault so the voting public will reelect them. Guess what it worked! Offering the low down payment problem that will, as you say, cause the same result. No bank will offer such a deal if they are not going to get guaranty from the regulators that they will have the loan covered or the threat of getting their line of credit canceled. Most of the elected congress people were the ones in school that would pass gas and point to others. They are still using the same method and getting away with it.

One way to end commodity speculation is if you buy a commodity you have to take delivery of it before you can resell it. I doubt that these day traders could fit 10,000 bu of corn or 10,000 gal of gas in their home.

What good does it do slow down options. They have lowered cash put up to buy a corn contract to 5 percent. A bushel of corn is still bought and sold up to 8 to 10 times before it gets to the end users. Tell ADM, Cargill, Bunge, Etc about options and they will get a good laugh.
If it is stocks same thing with Goldman Sachs,etc.

the banks are being forced to make zero down loans by federal regulators, same as last time. Barney Frank should have been tried, convicted and imprisoned for not only forcing Fannie and Freddie to buy the zero down loans from banks, then forcing Fannie and Freddie to hire his boyfriends. we are in the beginning stages of another housing bubble.

Pete, As it stands I too against the pipeline for the exact reason that you state, however if they in fact would build a top of the line refinery in Nebraska, I would have to change my mind. Until that happens screw that pipeline.

The oil market was, is and has always been driven by supply and demand, the current lower price is nothing surprising and was not only predicted but was inevitable. The US drilling boom, along with the uptick in activity in many parts of the world substantially increased the supply, that fact, coupled with the decrease in demand due to a weak international economy resulted in the current lower price which is headed lower. The economies of most of europe, asia minor and the baltics are in shambles, the middle east, far east and north african economies are headed downhill on a roller skate, the only real growth in the US economy for the past 6 years has been driven by the energy sector, ironically, the full benefit to the US economy of cheaper oil may not be realized due to repressive corporate tax rates. As for speculators, no commodity market can survive without them, they set the market and then supply and demand takes over, grain elevators, livestock auctions, cotton warehouses, along with buyers, sellers and brokers of everything under the sun all use futures markets to stage their set in prices and the free market does the rest. We need a lot more people willing to risk their capital to make a buck, not less. The backlash against speculators on this forum always surprises me because there are many people on here who feed cattle or hogs, buy and sell equipment, raise and sell crops etc., speculators, one and all.

Maybe we will get another Bush to point this out... Worst case they can blame it on a Bush...

All you have to do is Google "what caused the housing bubble to burst"

Its EZ to take on debt if you don't have to put your money into the deal,,, that makes it EZ to walk away from it and let someone else deal with it...

Hobo- Like Donald nnalert did. How many times has he
filed for Bankruptcy now?

The only 0 money down program is thru R D rual development . They have shrunk the zone for those. As far as Fannie Mae those are about 3.5 % down. Freddie and Fannie loans are harder to get than ever. They make you have a certain debt to income ratio so much money in the bank and just take forever to close. The banks originate the loans and if they make a mistake they won't buy them from the banks. Most people end going conventional loans which starts at 5% down. Talk to any who's obtained a loan recently they will tell you its not that easy. More over most loan and realtors will tell the new rules has made it so hard to get a loan .

(quoted from post at 15:30:19 01/08/15) It seems supply and demand sometimes now days is more manipulating the market in most everything.

Click to expand...

These guys were options traders, and had lost big on oil futures and were pretty ------ about it. Oil, in their opinion, should not be that low. Interesting that folks have different ideas on this, they are only motivated by their money, screw the rest of the economy. They want the Dodd Frank rules gone, especially the "Volker rule", it keeps the banks out of speculation on options.

If I were to post my take on why the housing
bubble busted, it would get poofed. So I will say,
we gave money to people we knew wouldn't pay it
back because of a bill passed before bush 2.

It would be historical, some may say hysterical, to
have a third bush as commander to blame.

I think (per a media overview of the contents blerb) I read when it
was approved as this last funding bill for congress for 2015
included a snuck in, totally non related, as usual, relaxation of the
D-F (watered down as it was) speculative crimes.....er ah "good
business practices". Since the media have reported that Washington
is too close to Wall Street, this surely makes sense. I understand
they ship a ton of their profits to DC PACS so what would you
expect.....business as usual.

Mark

yes google burning down the house ,, it will explain the bankin housing debacle ,,identifies what groups caused it ,, and those that worked hard to reverse it ,,