The Great Commodities Heist

I previously devoted an entire commentary to the subject of how so-called "hoarding" preserves markets, much like animal "conservation" (or "hoarding" of animals) preservers endangered species. It is "shorting" which destroys markets, for the very reason I already provided: It sabotages supply by under-pricing, inevitably leading to shortages and higher prices.

Despite the outrageous crimes being committed in our commodity markets, ordinary investors have no choice in their own actions. The descent of our governments into such blatant criminality is proof of the severity of the economic problems which they try to hide from us -- as well as demonstrating the magnitude of their desperation.

It would be genuine "speculation" (and risk) for commodity-holders to pull their wealth out of these sectors and convert it back into the same paper which are own governments have vowed to destroy. The laws of supply and demand can never be violated. They can only be perverted over the short term, before their inexorable fundamentals restore "balance" to a market.

The more extreme the manipulation, the more severely the pendulum must swing back. The holders of commodities need only stand their ground -- and watch the paper-holders complete their own economic suicide.

This commentary comes from an independent investor or market observer as part of TheStreet guest contributor program. The views expressed are those of the author and do not necessarily represent the views of TheStreet or its management.

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