You are viewing a single comment's thread from:

RE: ADSactly On ADSACTLY - Producers and Others

in #adsactly7 years ago

Perfect example of this is future contracts. How many future contracts are actually used for their original purpose? I would estimate a very small percentage. Instead we have speculators using these future contracts to distort the value of commodities by taking positions conducive to profit.

These derivatives are a significant risk for the financial system, you only need to look at the GFC, Deustche Bank 2016 or the most recent VIX saga.