The head of the American CME warned of a 'biblical catastrophe' in the oil market 0 8

Duffy, whose company manages the world's largest oil futures exchange, stated at a conference in Boca Raton, Florida, that government intervention in pricing will undermine investor confidence. "Markets do not like it when governments interfere in pricing," the publication quotes him as saying.

According to the head of CME, if investors lose faith in the market's ability to fairly determine the value of key commodities, it will lead to catastrophic consequences.

Earlier this week, amid the conflict between the U.S. and Iran, Brent crude prices soared to nearly $120 per barrel, only to plummet below $100 just as rapidly.

Tim Skirrow, head of the derivatives department at the consulting firm Energy Aspects, told the FT that clients are literally bombarding them with questions about who is behind a series of unexplained large trades. "Clients are pressing us to find out who this large seller is. Speculation points to the U.S. Treasury," the newspaper reported.

Analysts at Rapidan Energy Group, founded by former White House energy advisor Bob McNally, acknowledge that the idea that the U.S. Treasury is selling oil futures with near-term delivery is currently attracting "more attention than usual."

A Treasury representative declined to comment on these speculations. However, a source familiar with the position of Treasury Secretary Scott Bessen assured the FT that the department has not intervened in the oil market. The Department of Energy also emphasized that it does not participate in trading oil derivatives and has not provided recommendations on this matter to other agencies.

In addition to rumors of secret interventions, markets have been disoriented by the actions of the government itself. Energy Secretary Chris Wright posted on social media X that the U.S. Navy had escorted a tanker through the Strait of Hormuz. The statement instantly crashed prices, but a few minutes later the post was deleted, and the White House denied the information about the escorting of vessels.