A little common sense?

 

1. Methinks that it is not true capitalism if you only have to put up 7% on a future’s margin.
   Change this to 50% and over night the market will correct itself, and maybe put a few speculative asshats into bankruptcy.

   Posted by StephanA       06/11/2008  at  09:53 PM  



2. Would 75% bring it to a dead halt? “Invest” $3 to make $4 in a few months? A 25% gain in 30 to 180 days looks pretty good to me.

   Of course, if the investment goes up to these levels, only the “big boys” will be able to play. But is that actually a bad thing here? Look how the stock market has been turned inside out by the mass of little day traders. It used to be that stock was something you bought for the long haul, and it’s value was a reflection of the health of the company. Now the only thing that matters to the investor is the share price and where it will be tomorrow. Companies are ruining themselves just to keep the numbers up.

   Posted by Drew458       06/12/2008  at  09:35 AM  



3. Drew this is an interesting article. I can see the sense in increasing the amount of margin. The price of oil is ludicrous. It is damaging to our economies and ultimately there will be a slump in the economy leading to a glut of oil, and then the price will collapse. This is not beneficial to the vast majority. I am reluctant to introduce regulation to the markets but it does seem the speculators are damaging long term growth.

   Posted by LyndonB       06/12/2008  at  09:55 AM  

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