Full Disclosure Rules for Commodities

VANCOUVER - Aug 6/04 - STAT -- Scandals which shocked stock markets in recent years and the obvious conflicts of interest which exist at major brokerage firms -- between analysts and investment banking branches -- have forced major changes in the way stock markets are discussed and analyzed in public forums.

It is now commonplace for any individual discussing a market segment and/or individual stocks to divulge whether or not they or their family, as individual investors or speculators, or their company have a financial interest in the subject.

An increasing number of commodity producers, especially farmers, are asked why there is not similar disclosure when traders discuss commodity markets in speeches or in newspaper articles.

While accepting that the traders and their companies are actively involved in the commodity being discussed, they argue published comments cannot be properly considered without knowing whether the company or the trader is even, somewhat long or short, or significantly long or short the commodity under discussion.

Subscribers can read the full text of the article by Clicking here