Tickerphilia

The Ghost of Crude Oil Futures (Part 1/2)

The price of oil began to crack when Senate committee chairmen began to rattle that legislation was forthcoming to regulate speculation in the oil markets. It appears that speculators using the CME&ICE began to run for the door. As the price of oil has dropped, so have the equities of these exchanges. A similar oil bubble occurred in the '70's when specs bought up tankers of crude and had them steer in circles until prices rose to a satisfactory level. When the price began to crack everybody ran to the nearest door (read: terminal), and prices plunged.