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  • Panel Cites Surge in Speculative Oil Trades: Congress Gears Up to Devise Limits; Campaigns Spar

    06/23/2008 9:19:28 AM PDT · by gleeaikin · 39 replies · 104+ views
    The Wall Street Journal ^ | June 23, 2008 | Stephen Power & Ian Talley
    WASHINGTON -- Speculative traders' interest in crude oil has grown to the point that they now account for roughly 70% of all trading in West Texas Intermediate crude on the New York Mercantile Exchange, compared with 37% in 2000, according to an investigation by a congressional subcommittee that forms part of an escalating political assault on Wall Street's role in the run-up in oil prices. The subcommittee's findings, based on data obtained from federal commodity-futures regulators, are the latest sign that Washington is gearing up to try to limit the role of hedge funds, investment banks and other speculative traders...