Senate Agriculture Committee's Stabenow Calls on "CTFC" to Review Alleged Manipulation of Aluminum Market (with Lofchie Comment)

Senator Debbie Stabenow (D-MI), Chair of the Senate Agriculture Committee, wrote an open letter to CFTC Chairman Gensler to clarify the agency's role and responsibilities regarding allegations that certain U.S. warehouses are delaying the delivery of purchased aluminum to profit from storage fees. The warehouses, which are overseen by a UK-based commodity exchange, are also allegedly distorting the market price of aluminum to their advantage. Chairwoman Stabenow is pressing the CFTC to investigate whether the acts violate the CEA.

Lofchie Comment: In his testimony before the Senate (see related news item), Chairman Gensler indicated that the CFTC does have relevant jurisdiction, thus one would expect enforcement inquiries (at the least) in this area.

See: Chairwoman Stabenow's Letter to Gensler; Agriculture Committee Press Release.