Free Republic
Browse · Search
News/Activism
Topics · Post Article

To: thackney

Look for the Democrats to attempt this maneuver...

Since gas prices are largely the result of the surging price of a barrel of crude, and that is a product of speculation in the futures market, I would expect them to propose some draconian surtax (90% or so) on profits earned from the trading of energy futures.

This would have the effect of frightening a vast number of US based speculators out of the market, and the resulting sell-off from the world’s wealthiest country would force the price of a barrel of crude to drop like a rock. The bubble will have been pricked and will deflate. This is precisely how they have blown-up markets in the past and I am surprised it is taking them so long to think of it.


3 posted on 04/23/2008 1:41:00 PM PDT by Buckeye McFrog
[ Post Reply | Private Reply | To 1 | View Replies ]


To: Buckeye McFrog
This would have the effect of frightening a vast number of US based speculators out of the market US markets and only trade on the several other existing futures markets already trading oil around the world.
4 posted on 04/23/2008 2:09:50 PM PDT by thackney (life is fragile, handle with prayer)
[ Post Reply | Private Reply | To 3 | View Replies ]

To: Buckeye McFrog
Buckeye McFrog

Are you a singing poisonous nut?

Sorry, had to ask.

Go Bucks, class of 1988.

5 posted on 04/23/2008 2:11:39 PM PDT by thackney (life is fragile, handle with prayer)
[ Post Reply | Private Reply | To 3 | View Replies ]

To: Buckeye McFrog
Nobody has to trade crude in New York, Cushing, or Atlanta, m'friend.

Easiest thing in the world to trade it in London, Rotterdam, Dubai, or Singapore.

And leave the funds overseas. Tell the tax man to go whistel for his your money.

The goobermint, if it wishes to curb speculation (which is NOT necessarily the case, BTW), can do so quite easily: simply make NYMEX and ICE raise the spec margins -- say, treble them or quadruple them. Sure, some traders would still go everseas to trade, but many/most will find something else to trade.

6 posted on 04/23/2008 3:16:42 PM PDT by SAJ
[ Post Reply | Private Reply | To 3 | View Replies ]

Free Republic
Browse · Search
News/Activism
Topics · Post Article


FreeRepublic, LLC, PO BOX 9771, FRESNO, CA 93794
FreeRepublic.com is powered by software copyright 2000-2008 John Robinson