Commodity Management Blog

Innovative Ideas and Thought Leadership for Volatile Commodity Marketplace

After four long years of debate, the CFTC has finally decided to impose position limits on commodity traders in an effort to curtail speculative trading.  The new limits will cover 28 commodities. What does it mean and how will it affect the markets? Ed Meir, an analyst at MF Global, says that it won’t have much effect in the short term, but speculates that costs are going to rise for the end-user in the long term.  

If you’re looking for a short summary on the new ruling, I highly recommend you watch the video below with Meir.  He does an excellent job of explaining who the new limits are going to impact and has some interesting thoughts on what the CFTC did wrong and why the ruling baffles him. 

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