[arin-ppml] ARIN-prop-146 Clarify Justified Need for Transfers

[Owen DeLong]

On May 5, 2011, at 11:18 AM, Jeffrey Lyon wrote:

> On Thu, May 5, 2011 at 2:12 PM, Sweeting, John
> <john.sweeting at twcable.com> wrote:
>> A large percentage of the price of a gallon of gas is attributable to Speculators, companies that never even take ownership of the oil, they just buy it and sell before it is even shipped.
>> 
> 
> It's a gamble. Derivatives markets can protect sellers or they can
> protect buyers. A forward contract for delivery in 3 months at

A third possibility is that speculators can use derivative markets
to just screw everyone and extract money from the process while
not providing any benefit.

This is often the case.

Owen