The U.S. Commodity Futures Trading Commission, the nation’s regulator of oil and other futures markets, has charged crude oil speculators for artificially driving up the price of oil during 2008, when oil reached a record $147 a barrel on a speculative bubble that helped crash the global economy. James Dyer and Nicholas Wildgoose, former BP traders who were working for oil trading house Arcadia/Parnon, were charged for a scheme to hoard oil, make a “shitload of money,” and then dump it in an “inevitable puking,” according to emails acquired by the CFTC. The Financial Times reports:
The US commodities regulator has charged a trading house and two individuals with manipulating oil prices in 2008 by allegedly amassing dominant positions in the physical market that created the impression of a shortage.
Now that speculation has returned to 2008 levels, again driving up oil prices and threatening the global economic recovery, Republicans are trying to slash the CFTC budget.