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1) Regulate ICE, same as NYMEX, and also attempt to force transparancy on Rotterdam, SIMEX, and London (this latter probably won't work, but it MUST be tried). Cockroaches simply can't stand the light of day, or in this case market transparency.

2) Enforce position limits on ALL players in the energy mkts. Limit violations should be treated as felonies, not just slapped with a piddly fine, but with real live time served at the Greybar Hotel.

3) Change exchange practices on daily trading limits. This has been done before w/o any goobermint input at all, and there is AMPLE precedent for it. The mechanics of this are a bit technical, and I'll spare you the details until/unless you ask for them.

4) Suspend Section 1056 of the IRS code for large specs, banks, and funds regarding any energy market or markets. Again, this is technical; you can have the details if you like.

5) Pick ONE recalcitrant big player (G-S would be my preference), and conduct an unannounced audit raid on their positions, and doings generally, in the energy mkts.

6) Drill. Nukes. Coal.

The first 4 will cool out the mkts, not a doubt in the world of it, and can be accomplished in any 30 given days.

The fifth is to set an example for the next group of would-be runaway specs: this will happen to you, next time.

The sixth is to prevent this sort of nonsense from occurring again for the foreseeable future.

Thank you SAJ for the rational and succinct explanation of this current oil “crisis”. One thing that I have learned in my middle-aged life is this: If you do not understand what is happening in our economy and our government - then try to follow the money. This will usually explain many things.

There is no doubt that as soon as these speculators like GS have extracted their pound of flesh, they will turn around and short oil and the price will drop as if by magic. They will push the price right up to the amount of extreme pain on the public. It’s pathetic that GS continues to publish their $200/barrel estimate all in order to keep the price going up.

I wonder if you have heard that the Saudi’s are sending quite a few billions of oil to us in June? Somewhere I saw a reference to that. Also that Iran is sitting on billions of barrels that they can’t sell due to lack of heavy sour crude refining capacity?

Thanks.