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by pasbesoin 4713 days ago
I did not read too far into the article, but I read far enough to gather that this is one instance of something I've been reading about elsewhere. Even the specific commodity, aluminium, sounds familiar.

Goldman is one of the largest -- and therefore, most effective -- players, but basically Goldman and its ilk have been using their financial (and legal) clout to essentially corner commodity markets. They are creating effective monopolies for themselves -- or sufficient control to significantly influence availability and therefore pricing.

In this particular instance, as far as I read, they are using their control of aluminium stocks and warehousing to jack up the prices they receive. This may abut regulatory and other concerns, resulting in a "shuffling exercise" to place their price increases within boundaries and definition of an established market mechanism and regulation.

Still in the process of being converted from a public resource to a private commodity -- in the U.S. and some other countries, at least -- but another one to keep an eye on is water, including potable water. There are companies working to privatize supplies, with an eye to charging you whatever the market will bear. And if and when they control said market? And given that most communities are single sourced for local, bulk delivery?