Financial institutions can have a strong impact on oil (or any commodity) price when an opportunity such as the turmoil in Iraq occurs. Temporary purchases with no intention to take possession of product is a financial gamble. The speculators intent is to make a profit that adds unnecessary cost to a product at the expense of the consumer. It is like buying bulk quantities of tickets to the Super Bowl before the public is given a chance to buy them individually, then selling them to the public at a significantly higher price. It is a very common practice.
Posted on: Fri, 27 Jun 2014 12:02:14 +0000
Trending Topics
Recently Viewed Topics
© 2015