Quote:
Originally posted by bpc:

I agree the analysts should shut their trap. The majority (70%) trading crude is the commercials (refiners/oil producers). Speculators do not have the weight to push the market around. Electronic trading also has little to do with it.
Analysts should shut their traps publicly if their intention is to cause price manipulation for them and their clients. I'd guarantee this Morgan Stanley analysts big mouth helped the position of his firm and their clients.

I disagree that 70% of crude trading is done by the commercials. By that I mean the oil companies themselves. They do some, but the money they have to engage in such activity is a tiny fraction of what is being traded.

You are correct if you are including oil producing countries who themselves control vast amounts of money through these so-called "Sovereign Wealth Funds" and a lot of this money winds up in hedge funds which also controls a lot of commodities trading.

There is a lot of trading going on that is outside of the reach of any traditional American regulatory agencies. A lot of that trading is anonymous and all this activity should be illegal.