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Grand Theft Oil Futures: Insider traders keep making a killing at our expense

paulkrugman.substack.com

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Re: Grand Theft Oil Futures: Insider traders keep making a killing at our expense

#21

Post by gruez »

VladVladikoff wrote: post #13
gruez wrote: post #4

So if this sort of "insider trading" is bad, what does this mean for other sorts off strategies hedge funds do to get an edge, like flying helicopters to look at how full oil storage tanks are? Should that be banned too? The article basically argues that any sort of edge is bad because it disincentivizes others from participating. edit: see my subsequent comment. I'm not saying corruption is good. The whole point of…

Wait, those big oil tanks don’t have lids? Doesn’t that mean rain would mix with the oil??

AFAIK the lids "float" on top of the oil, probably to prevent vapors from building up if the tank is half full.

Re: Grand Theft Oil Futures: Insider traders keep making a killing at our expense

#22

Post by SkipperCat »

Theodores wrote: post #8

[flagged]

The Rothschilds getting news faster because they build an information network is not inside trading. Inside trading is when you have a legal and fiduciary duty not to trade and not to disclose information. The people working in the US government have that obligation and are not abiding by those rules.

Re: Grand Theft Oil Futures: Insider traders keep making a killing at our expense

#23

Post by tekla »

mentalgear wrote: post #15
Theodores wrote: post #8

[flagged]

funny aside: rothshields were mentioned more than trump in the epstein files, yet no outlet even touched that fact..

Of course this is a complete lie.

https://en.wikipedia.org/wiki/Connections_of_Jeffrey_Epstein...

https://www.wsj.com/finance/banking/the-rothschild-dynasty-s...

https://www.reuters.com/business/finance/epstein-files-show-...

https://www.lemonde.fr/en/international/article/2026/02/05/j...

Re: Grand Theft Oil Futures: Insider traders keep making a killing at our expense

#24

Post by LadyCailin »

tekla wrote: post #19
59percentmore wrote: post #11

Earlier quoted context omitted.

I'm not sure what world we live in where being able to rent a helicopter implies hard work and not large amounts of preexisting wealth (generally taken by many to indicate at least some abuse of power, somewhere along the way).

It's a world where renting a helicopter is hilariously cheap available to some average person. Looking at my local tourist helicopter place, a private custom flight is $1k per ~15m. That seems like nothing if it allows you be make millions with the information.

You can’t make millions from shorts unless you’ve already got millions to risk.

Re: Grand Theft Oil Futures: Insider traders keep making a killing at our expense

#25

Post by skinfaxi »

59percentmore wrote: post #11
rocqua wrote: post #6

Earlier quoted context omitted.

This insider trading isn't hedge-funds working hard to get an edge. It's political insiders trading ahead of public statements. They are getting gains not by dint of being incredibly smart, nor from working very hard. Instead its from abusing their position in power. And by doing so in this manner, they are taking money away from the actual productive people trading in the futures market. Besides, as Matt Levine ofte…

I'm not sure what world we live in where being able to rent a helicopter implies hard work and not large amounts of preexisting wealth (generally taken by many to indicate at least some abuse of power, somewhere along the way).

Businesses require investment and a helicopter charter is probably less than a year of office space.

Re: Grand Theft Oil Futures: Insider traders keep making a killing at our expense

#26

Post by gruez »

izacus wrote: post #16
gruez wrote: post #4

So if this sort of "insider trading" is bad, what does this mean for other sorts off strategies hedge funds do to get an edge, like flying helicopters to look at how full oil storage tanks are? Should that be banned too? The article basically argues that any sort of edge is bad because it disincentivizes others from participating. edit: see my subsequent comment. I'm not saying corruption is good. The whole point of…

This kind of "well eksuallyyyy" argument isn't very useful or good faith when a systemic harm is highlighted. It's just contrarian muddying of the conversation.

>This kind of "well eksuallyyyy" argument

It's not, when the article is specifically arguing that the insider trading is bad beyond just corruption, and barely touches corruption. You don't get to tack on a weak claim on top of a strong claim, and then when the weak claim gets pushback fall back to the strong claim and say everything's fine because you're directionally correct, or claim the person pushing back is wrong because they're directionally incorrect.

Re: Grand Theft Oil Futures: Insider traders keep making a killing at our expense

#27

Post by bloomingeek »

noIdeaTheSecond wrote: post #5

> "The Trump administration is making no real effort to crack down on whoever is trading using inside information, and these inside traders are operating with a complete sense of impunity, assured that they can get away with it." I think this sums it up.

Indeed, since 2016.

Re: Grand Theft Oil Futures: Insider traders keep making a killing at our expense

#28

Post by gruez »

SkipperCat wrote: post #22
Theodores wrote: post #8

[flagged]

The Rothschilds getting news faster because they build an information network is not inside trading. Inside trading is when you have a legal and fiduciary duty not to trade and not to disclose information. The people working in the US government have that obligation and are not abiding by those rules.

>and fiduciary duty not to trade and not to disclose information. The people working in the US government have that obligation

No they don't. They might have duties not to leak classified information, but not fiduciary duty.

Re: Grand Theft Oil Futures: Insider traders keep making a killing at our expense

#29

Post by 2ndorderthought »

gruez wrote: post #4

So if this sort of "insider trading" is bad, what does this mean for other sorts off strategies hedge funds do to get an edge, like flying helicopters to look at how full oil storage tanks are? Should that be banned too? The article basically argues that any sort of edge is bad because it disincentivizes others from participating. edit: see my subsequent comment. I'm not saying corruption is good. The whole point of…

HN will never stop surprising me with it's takes on how it's okay to make money at anyone else's expense regardless of laws, ethics or harm done

Re: Grand Theft Oil Futures: Insider traders keep making a killing at our expense

#30

Post by mothballed »

LadyCailin wrote: post #24
tekla wrote: post #19

Earlier quoted context omitted.

It's a world where renting a helicopter is hilariously cheap available to some average person. Looking at my local tourist helicopter place, a private custom flight is $1k per ~15m. That seems like nothing if it allows you be make millions with the information.

You can’t make millions from shorts unless you’ve already got millions to risk.

Shorts don't cost much to open, just the borrow rate on the shares. As long as it goes straight down you can leverage quite a bit without getting called.

Of course, this is the fastest way to lose your shirt and everything you have ever worked for, if there is any uncertainty.

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