Murphy Calls on Trade Commission to Crack Down on Excessive Oil Speculation

Press Release

Congressman Chris Murphy today called on the Commodity Futures Trading Commission (CFTC) to quickly implement rules to crack down on excessive oil speculation, a primary culprit behind rising gas prices.

"Let's be honest, there is a very limited number of things the government can do to control the international price of oil," said Murphy. "One thing we can control is the extra 56 cents per gallon premium caused by excessive speculation in our oil markets."

Murphy sent a letter to the chairman of the CFTC to urge the immediate adoption of new rules included in the Dodd-Frank Wall Street and Consumer Protection Act that would allow federal regulators to police derivatives markets, including trades in energy commodities like oil. Without this rulemaking in place, regulators won't be able to exercise all their abilities to police oil markets for excessive speculation and price manipulation.

"A further spike in gas prices could slow our economic recovery: the average retail price for regular gasoline in Connecticut has already reached $3.96 a gallon, a full 41 cents higher than at this time last year," added Murphy. "As gas prices rise in Connecticut and across the country, I'm concerned that the delay in implementing these regulations will limit the CFTC's ability to police excessive speculation in our energy markets."

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