BLOG: Speculation in the crude markets hurts the real economy

12 September 2016 09:57 Source:ICIS News

LONDON (ICIS)--Click here to see the latest blog post on Chemicals & The Economy by Paul Hodges in which he analyses how speculation among crude oil traders is hurting the real economy.

“High levels of volatility are normally a sign that a mania is coming to an end. Oil prices will then be left to find their own value, on the basis of real market fundamentals of supply and demand. That, after all, is the key role of any market, to provide ‘price discovery’,” says the author.

Editor’s note: This blog post is an opinion piece. The views expressed are those of the author and do not necessarily represent those of ICIS. Paul Hodges is the chairman of consultants International eChem.

By Staff Reporter