How To Lower Oil Prices --- UPDATE

Kenneth M. O’Brien

On May 9, I posted an article titled “How To Lower Oil Prices NOW!”

I subsequently sent the piece as a Letter to the Editor that appeared in the Southbridge Evening News.

I even went so far as to send the proposal to our Congressman Richard Neill.

Apparently, there are those who still feel that my ideas are outlandish and of little merit.

How To Lower Oil Prices NOW!

Kenneth M. O’Brien

At present a futures trader can control $100 of oil futures contracts with only $6.

This is the magic of what’s called “buying on margin”.

It is the basis for a great deal of speculation in the commodities markets.

It is the Exchanges that dictate the margin requirements on commodities contracts based on their assessment of market risk.

But, there is another, more insidious, element of margin requirements.