RV Fuel Issues & Prices - Post 'Em Here!
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Forum Discussion
ronharmless wrote:AO_hitech wrote:You don't know a whole lot about commodities market do you. When you buy, you do take delivery, unless you sell it before the delivery date.
Just require ALL buyers on the oil and gasoline commodity market to actually take delivery. Problem solved.
Ron that seems to be the case based on some of the posts
Traders are not consumers of what they trade so long term they are not price drivers plus there are two parties (on long and one short for ever contract).
Like copper prices could be up due to the weekend earthquake in Chile a major supplier. But long term is the comsumers of copper ore do no buy it the prices will drop back to normal supported prices.
The producers sell (create short positions) to lock in their selling price and consumers (companies who need the products produced (create a long position) to insure they have the future products and a fixed cost.
