Originally Posted By: HTSS_TR
If no commodity trades is allowed then how is the price determined ? Oil refineries like Valero do not produce any crude oil, they buy oil to refine to gas, diesel ... they need to have a sturdy supply of oil at the price they think they can make a profit in the next several months or years, how/where do they buy crude oil ? Same thing for companies producing Ethanol, how/where do they buy corn ?
If there were a true "free market" system the price would be determined by what it costs to make any given product. Unfortunately with all the rigging of markets and currencies that hasn't been the case in decades and probably centuries.
A true free market sets the price. There never should have been a stock market. We don't need one. Wall Street and the mega banks are the source of all of our problems right now not only with oil prices but everything financial.
We were far better off with 10's of thousands of private farms and ranchers than we are now with Con-Agra, ADM and the Department of Agriculture. The same goes for energy companies.