Democratic Senators Introduce Bill to Reduce Oil Speculation
Reducing oil speculation will hopefully lower gasoline prices
Many people in the investment community, including most oil traders, hedge fund managers, investment bankers and pension fund managers, along with a majority of Republicans in Congress have been saying over and over again that speculation has not been a material factor in driving up oil prices. Many business leaders and Democrats in Congress believe that speculators have played a significant role in the quick escalation of oil and gasoline prices.
On July 15, 2008, Senators Reid, Durbin, Schumer, Dorgan, and Murray introduced S. 3268, the Stop Excessive Energy Speculation Act of 2008. This legislation, developed after consultation with consumer advocates, oil market analysts, and experts from the financial and airline industries, seeks to reduce the amount of excessive speculation in the oil markets.
For the sake of the U.S. and world economies and the American public, hopefully the Democrats are right and the legislation will be enacted quickly, leading to a significant reduction in oil and gasoline prices.
Politico.com article on oil speculation bill
MarketWatch.com article on oil speculation bill