Mark Perry links to this article in the WSJ which is a snippet of an article on the fight for and against “speculators”.

Here is the key paragraph (also excerpted on Perry’s blog):

“Mr. Duffy dismissed the criticism, saying that speculators play an important part in financial markets. “When the Dow goes above 13000, Google goes above $600 per share and everybody celebrates, who do you think did that? The U.S. equity market is 100% speculators,” he said.”

This is absolutely correct: nobody has any idea what tomorrow will bring and as such everybody is a speculator.

Criticizing, attacking, demonizing “speculators” is ridiculous because, if taken at face value (that is, the definition of speculation), it is a criticism of everybody in the market (which is essentially everybody).

-JD Cross