Did you read the article?
These buyers and sellers of real stuff are the physical hedgers. The FDR administration recognized, however, that in order for the market to properly function, there needed to exist another kind of player - the speculator. The entire purpose of the speculator, as originally envisioned by the people who designed this market, was to guarantee that the physical hedgers, the real players, could always have a place to buy and/or sell their products.
>The speculator is there to make money, and providing liquidity is a side-effect.
Yes, speculators making money is fine. The liquidity side-effect is the reason to allow for some speculation in regulations.
> If supply is indeed artificially constricted by hoarding speculators, they will need to sell off their supply at some point.
Yes, that's why, as I said, consumers are subject to volatile price swings from investors, rather than steadier prices which would more accurately reflect supply and demand.