Limits on Speculative Trading Needed to Protect Energy Markets: U.S. Regulator

The chairman of the Commodity Futures Trading Commission said on Wednesday that the agency wanted to impose new restrictions on so-called speculative traders, not to reduce price volatility but to prevent the energy markets from being dominated by a few huge investment funds.

“I believe that at the core of promoting market integrity is ensuring markets do not become too concentrated,” said Gary G. Gensler, the commission chairman. “I think we would all agree that if one party controls half the market, that party is more likely to lessen liquidity than enhance it.”

New York Times