Seems Legit: CME Group’s Water Futures Contracts Go Live, Allowing Hedge Funds To Bet On Future Water Availability!

Because nothing says “free markets” more than some good old-fashioned Wall Street “price discovery”…

(by Half Dollar) Flying somewhat under the radar was yesterday’s launch of Water Futures Contracts.


From Bloomberg (bold added for emphasis and commentary):

Water joined gold, oil and other commodities traded on Wall Street, highlighting worries that the life-sustaining natural resource may become scarce across more of the world.

Notice what word cannot be typed in Bloomberg’s first paragraph.


Farmers, hedge funds and municipalities alike are now able to hedge against — or bet onfuture water availability in California, the biggest U.S. agriculture market and world’s fifth-largest economy. CME Group Inc.’s January 2021 contract, linked to California’s $1.1 billion spot water market, last traded Monday at 496 index points, equal to $496 per acre-foot.

So now, new upgrades to the rigged casino known as Wall Street include Water Futures Contracts.

How lovely.


The contracts, a first of their kind in the U.S., were announced in September as heat and wildfires ravaged the U.S. West Coast and as California was emerging from an eight-year drought. They are meant to serve both as a hedge for big water consumers, such as almond farmers and electric utilities, against water prices fluctuations as well a scarcity gauge for investors worldwide.

It’s a win for financialization!


Up next, Air Futures Contracts.

For, oh, you know, for breathing.

Of course, if you want to end this madness, there is one and only one thing that can ever be done.

Starve the Beast…