Govt Orders End of Commodities Speculation

Reuters: China securities regulator orders major commodities exchanges to control futures speculation - sources
China's securities regulator ordered the country's major commodity futures exchanges this week to control speculative trading activity, sources told Reuters, after a surge in prices sparked fears of a boom-and-bust cycle.

In response, commodity futures exchanges in Dalian, Shanghai and Zhengzhou ordered major institutional investors that lack a commodities background to rein in their trading, three people with direct knowledge of the situation said. The sources didn't define what was meant by a lack of background in commodities.
Volume has fallen. Prices initially dipped and rebounded, but if volume stays down, prices will follow.

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