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  • Raising Margin Requirements May Spike Oil Prices Higher [View article]
    A thought crossed my mind. Watch out. If margins were implemented with immediate effect (no warning) wouldn't that curtail any short term rally on short futures?
    Jun 11 15:14 pm |Rating: 0 0 |Link to Comment
  • Raising Margin Requirements May Spike Oil Prices Higher [View article]
    "If our thesis is correct..."
    That's the bigger factor isn't it? If your thesis is wrong based upon Dr. Spurgins hedging response function and it is not what's causing prices to rise then increasing the margins should in fact result in a dramatic drop per barrel. Also, even if there was a short covering rally, who's to say that might not be the temporary pain (shot in the arm) necessary to bring market prices on futures back to reality?
    Jun 09 09:39 am |Rating: 0 0 |Link to Comment
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