Senate Agriculture Committee Chair Debbie Stabenow is calling on the Commodities Future Trading Commission to review the recent allegations of possible manipulation of the markets for Renewable Identification Numbers. Press reports have highlighted potential speculation and manipulation of the unregulated markets – possibly contributing to recent market volatility and spikes in price. Stabenow is asking the CFTC to use its expertise and authority to help preserve the integrity of the RINs market. Stabenow wrote to CFTC Chairman Gary Gensler that she would like the CFTC to help determine whether factors other than supply and demand have been causing extraordinary volatility in the price of RINs and to what extent fraud and manipulation have been affecting the price of RINs. She expressed concern that a lack of transparency in these markets has made them more susceptible to manipulation. If that is the case – Stabenow says it’s a problem that must be identified and fixed. While Stabenow supports an actively traded market with a diverse array of market participants – she wrote that the market must function and allow entities to manage their risk and comply with the law.
Source: NAFB News Service