According to a recent CFTC report, index traders actually reduced their net long position by 11% between January and June of this year. The CFTC's report was based upon a comprehensive analysis of futures market transactions during this period. Index traders -- fund managers who make investments in commodity futures markets -- are the market players that many Congressional Democrats blamed for the spike in oil prices earlier this year. According to the WSJ, the CFTC's report shows that index traders were actually driving down the price of oil futures contracts.
Posted by Paul Malmfeldt on September 15, 2008.
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