Blame Speculators for 2008′s High Prices

No, it wasn’t a larger demand for ethanol that drove up corn prices last year. It was commodity market speculators. Further evidence is on the front page of today’s Wall Street Journal, where a story reports that the Commodity Futures Trading Commission “plans to issue a report next month suggesting speculators played a significant role in driving wild swings in oil prices — a reversal of an earlier CFTC position that augurs intensifying scrutiny on investors.”

When you compare the surge in price for corn with that of oil, you can easily sense a trend and see the connection.

Story here.