Fewer buyers and sellers (speculators) in the market means larger spreads and smaller quantities can be traded without causing a change in the market.
I’m kinda dumb
At least when it comes to markets.
efficiency though liquidity using the Brian Hunter/Amaranth example make it easy to follow and how it is good for the consumer.
His large buys and sells enabled other consumers and producers to more efficiently execute their trades.
So it is people outside the tidy little group of non-delivery speculators and brokerage firms isn’t it?
The investors in the fund who lost money were speculators. The investors in the funds who made the money he lost were also speculators.
Well do you suppose oil prices will rise above a non-speculative level
What is the definition of non-speculative level?
You still haven't explained how a futures contract purchase raises prices. Try again?
He can’t. Don’t pick on the poor sod. He’s just stuck with his misperceptions until, maybe, someday when reality will bite him in the ass.