Oil speculators on the run

Government may clamp down on banks, funds and others that don’t actually use crude. But will new rules bring down prices?

NEW YORK (CNNMoney.com) — Last year Andrew Hall, the head of Citigroup’s energy trading unit, made over $100 million, making him one of the highest paid people on Wall Street.

That same year Alabama resident Corey Carter spent over a quarter of his $240 weekly income on gas. Carter lived in the county where residents spent a greater chunk of their income on gas than anyone else in the country.

Some people think Wall Street’s increased interest in energy trading and the steadily rising price of gas is no coincidence.

Even the government is reassessing its opinion of speculation’s impact on oil prices. In what could be a significant reversal, the U.S. may tighten the rules on energy trading.

“Using an essential commodity as [an investment tool] is crazy,” said Judy Dugan, research director at Consumer Watchdog. “If you want a double dip recession, let’s just get $100 oil again.”

CNN