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Why doesn't the President of the United States issue an Executive Order to limit commodity speculation?

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Isn’t this a matter of at this point? International is unregulated at this point! If the is bid up enough, the American People cannot survive! Where is George Bush on this issue?
Commodity speculation is the bidding and buying on paper of or prices of oil that is used to value the price the actual commodity itself. This is done by , bidding up or down the price of the commodity, just as if it were a stock. The United States Government limits the price of oil in non electronic markets. With the onset of , there is no regulation on this….too new and the government has not caught up with it yet.

So the price of oil jumps higher and higher and oil investors smile all the way to the bank! They take any small of possible constraint and they use that to bid up the price of oil! Since they are unregulated, they are allowed to do this!

This all because the traders have found that the price of oil is the focus they can definitely make money on! Question is, where is the top? At some point, even a is not going to be worth driving even with a job!
Many commodities do not take delivery of oil! This is the problem, and they can roll over their contracts, and they can move to a different electronic exchange and keep it going odd infinitum! Oil is worth more than gold. Oil is the standard of useable energy at this point!

Anything that can come close to providing energy like coal and gas is also very valuable as oil drives up parabolically!

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7 Answers



  1. thegubmint on May 27, 2011

    Jimmy Carter tried something along those lines. Didn’t that work out well? That’s the deal with free markets, sometimes it’s great, sometimes it’s not.



  2. BigD on May 27, 2011

    I am pretty sure it would be unconsitutional.



  3. togashiyokuni2001 on May 27, 2011

    That’s for the FTC to decide, not the President. As long as the government has enough fuel to supply its military and various intelligence organizations, there is no national security issue.



  4. Shinny on May 27, 2011

    Because that would make him a dictator !



  5. iraqisax on May 27, 2011

    In the first place, executive orders only apply to members of the Executive Branch. Read your Constitution.

    All legislative power is in the hands of a Congress. That means that there is NONE in the Executive Branch.

    And speculation does not bid up prices, unless the speculators actually purchase the commodity. The reasons oil prices have skyrocketed are, one: the declining value of the dollar. Our politicians are borrowing a billion dollars a day, and simultaneously, monetizing the deficit by selling treasury bonds to the Federal Reserve. The Federal Reserve purchases these interest bearing bonds with federal reserve notes, that it creates out of nothing! This is the source of inflation.

    And two: Our politicians have stopped the offshore exploration and exploitation of oil. They delayed the Alaska Pipeline for years. They have stopped the building of nuclear plants, and oil refineries. They have done everything possible to maintain a monopoly for the big oil companies.

    The Free Market would depress the price of oil, but the Free Market cannot exist when we have Department of Energy, which exists to maintain the highest possible price for the big oil companies.

    Get government out of the energy business, and prices will come down.



  6. CoolHand on May 27, 2011

    Because he can’t, the President doesn’t have that power.



  7. gomanyes on May 27, 2011

    You clearly have no idea what "commodity speculation" is, hence your question.


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