Proved, the commodities market was rigged

[nokomisjeff]

I'd wager that the author never traded in a pit.

 

[ByLoSellHi]

Quote from ilikefox es:

Do you have an inkling of what a futures market is supposed to do?

Well, since you don't, let me help you. A futures market is about settling price for FUTURE settlement, a prediction of what future supply and demand will be. And, if people believe that there will be FUTURE supply constraints, it DOES affect how much people will pay for oil TODAY.

Today's supply and demand backdrop is only ONE component of what possible FUTURE supply/demand might be.

The same people that tell you all this nonsense about evil specs are usually the same people that tell you that if taxes are raised, it won't affect economic growth, that if the min wage is raise, it won't affect employment, and on and on and on. Complete rubbish.

"The spot price of West Texas Intermediate (WTI) crude oil increased from $122 per barrel on June 4 to $145 per barrel on July 3..."

August 12, 2008 Release

http://cc.msnscache.com/cache.aspx?q=73827579923856&setlang=en-US&w=37c457a5,d7c4ca83

 

[Daal]

If you guys can't figure out there is a secular bull market in commodities perhaps you should consider another job, flipping burgers, walking dogs. analyzing markets is certainly not your forte

 

[drsteph]

Quote from Daal:

If you guys can't figure out there is a secular bull market in commodities perhaps you should consider another job, flipping burgers, walking dogs. analyzing markets is certainly not your forte

And, for the record, that's how commodities trade. Hardly smooth.

But nice to have an opportunity to sell out at higher levels and then get back in to ride 'em back up.

 

[AAAintheBeltway]

Quote from drsteph:

And, for the record, that's how commodities trade. Hardly smooth.

But nice to have an opportunity to sell out at higher levels and then get back in to ride 'em back up.

Exactly. I'm convinced some of these guys have never traded anything. They certainly failed Econ 101. Price and demand do not have a linear relationship. If demand hasn't dropped, why is OPEC cutting quotas?

 

[Landis82]

Quote from Eliot Hosewater:

You don't suppose any investment banks went straight from one of Uncle Ben's lending facilities over to the commodities market do you?

No, it was Pension Fund money.

Check the stats for Q1 and Q2.
Enormous flows into the energy futures sector . . . by PENSION funds.

 

[GermanTrader]

Quote from AAAintheBeltway:

Exactly. I'm convinced some of these guys have never traded anything. They certainly failed Econ 101. Price and demand do not have a linear relationship. If demand hasn't dropped, why is OPEC cutting quotas?

Agreed. The number of posters on ET far exceeds the number of traders on ET. The number of unprofitable traders on ET far exceeds the number of winning traders on ET.

 

[GermanTrader]

Quote from Landis82:

No, it was Pension Fund money.

Check the stats for Q1 and Q2.
Enormous flows into the energy futures sector . . . by PENSION funds.

Glad that I manage my own pension funds and IRAs.

 

[GermanTrader]

Quote from stock777:

To all you pinheads that called it a free market and business as usual, you have now been proven wrong.

Stock777, this is evidence but not proof.

 

[jonbig04]

Quote from ByLoSellHi:

No, no, no...

You see, as so many oil bulls here argued, it was ALL supply & demand.

If they are correct, world oil demand has fallen by 30% in the last 8 weeks.

lmao.

LMAO that you think something OTHER than supply and demand moves prices...