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When Enron bought up energy contracts and install them back to the state of California for five times their face value, it one of nearly bankrupt the state, it did bankrupt one major energy supplier. Yet, Enron is perfectly allowed to do this, based on the laws of deregulation of the energy industry passed in California. When California settled to pay Enron only 2 and a half times the cost, Californians were still hurt. In almost every trade journal, they talked about increasing energy costs in California for small, medium and large businesses. But Enron was not the only person did this; I remember reading about a company in Portland OR, a steel company that had a three-year contract to buy energy from a hydroelectric power plant in the Dalles in OR. Seeing that the energy contracts was for a low amount of money, any open markets were paying quite higher prices due to Enron manipulations, a steel company sold its energy contracts to other users and used the entire maximum capacity of the contract for three years into the future and sold the excess.

Then the CFO figured out that they can close the plants, lay off the workers, pay every worker three months full pay, and that they would make five times the them out of profit on the energy than in making steel. Of course that was in the best interest of the shareholders, in the worst interest of the employees and terrible for the steel industry in America. I just thought everybody should understand some of the problems associated with the trading of commodities. If you're next-door neighbor purchases and sells wheat futures and makes a profit, he is doing so at the detriment of the farmer and the end consumer because the money he makes will either hurt another trader in the future, or cause an artificially increased price for the making of bread, meaning that you and I and everyone else the world will have to pay just a low more for a low for bread. Period next paragraph

I would have to question the viability of the commodities market in its direct relation to its original objective when it was formed; although, I question everything. I also question how anyone can consider that the stock market is really helping capitalize American business. When first started, it did a great job, but today it is a gambling casino where companies are artificially maken or broken on the whims of institutional traders, day traders, computerized momentum trading strategies and pure greed. (not denying that innate characteristic). I would have to ask, how in the hell is that helping anyone. A company trading at 500 times earnings is ridiculous. Enron trading at 80 was a joke; Global Crossing was nuts. Kmart is a viable concept, they sell stuff, people by stuff and Sears could see that too. I sometimes look at the reality of the situation and find there to be none. Well that's fine as long as you know the truth, may as well keep on trading and hit Las Vegas once in a while to, they need your money as well. Have a great evening. Think on it.

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