I wonder when the talk/action about "speculation" will commence.
my reading of Depression catalysts (1890, 1930), usually mentions "reckless & greedy speculators" as a major element.
the use of futures and options etc, is neccesary to hedge against the real price of commodities etc. I understand this. I think the ancient Greeks did this with olive oil
but if 99% leverage is available to a hedge fund, for instance, soley to make a large profit, ( or risk a large loss), does that strengthen the overall economy?
or add to systemic volatility/risk?
the subject is too complex for me to understand, but other ASF posters would have a much more informed opinion than me.
I like to be informed.
When i am wrong, it is neccesary to be informed to get things more acurate
am i naive in the extreme?
or may this be the next regulatory target?
i doubt the majority would have sympathy for Falcone or others, who make billions.
i suspect it is the massive leverage that is the killer
a confused ex semi-socialist, who trades stock