“Speculators and Commodity Prices”

CFTC Speeches

March 16, 2011

Opening Remarks of Commissioner Bart Chilton to the Futures Industry Association's Panel Discussion: Financial Investors' Impact on Commodity Prices, Boca Raton, FL

Citing studies by economists, including NY Times columnist Paul Krugman, supporting Chilton's claim that speculators "tap the gas pedal" and thus influence commodity prices, Chilton states that "It's simply not the case that 'there is no evidence that financial investors affect commodity prices.'"

Ironically, one of the scholars that Chilton cites to support his position, Paul Krugman recently wrote an op-ed taking the opposite side: "If and when I see signs that speculation is really driving up prices, I'll say so. But the signature just isn't there right now."

Cross References

Dodd-Frank Act, Title VII, Sec. 737

Signatures of Speculation

Krugman, NY Times

Feb. 11, 2011