Thank the Wall Street speculators for high gas prices

Because it's not about supply and demand. Plenty of supply, consumption is down, lots of gas in reserve, and yet prices continue to rise because the Wall Street thieves, the same people who brought you the Great Depression and the recent recession, are allowed to operate unchecked.


http://www.joplinglobe.com/dailybusiness/x560583319/In-absence-of-demand-oil-prices-rise-points-to-speculation

 

We must protect the bondholders!

 

Just like 2008. They are the Job Creators. And they are the 1%.

 

Said it here two months ago. The traditional spring run-up . . . and screw you, little man.

Yeah, $4.50 . . . that'll be just splendid. Talk about throwing sand into the economic gas tank. Eat or walk.

 

We're going to dance to this song again?

First of all, if it's that simple, just buy some crude oil futures.

Secondly, it's a refining issue, and it's an issue of the blends required by states like California.

Lastly, what have we done to put downward pressure on oil prices? Without the prospect of any new drilling, refinery capacity, new nuclear plants, etc., there isn't a ton of downside risk for a speculator who goes long crude. It's not going to zero.

 

No doubt Ragu is taking off his warm up and limbering up his fingers to respond.

 

Plenty of natural gas being flared off in North Dakota that could provide enough electricity for a year for nearly 850,000 homes. You'd think the prospect of capturing that gas would drive oil prices downward.

 

As the article notes, we have reduced consumption to the point that we are now a net exporter of gasoline. Typically the law of supply and demand would yield lower prices as a result. And yet no.

 

So, all these people who have worked in the financial end of the oil industry for decades, and the U.S. Energy Information Administration, don't know what they're talking about? Their analysis is simplistic?

"Without the prospect of any new drilling,"

We're producing more oil right now in the US than ever, and consuming less, and importing less still from the Middle East and getting cheaper imports from Canada. Western North Dakota is one big oil well. But yet we pay through the nose, upwards of $100 per barrel for a products that realistically should be priced in the $70-75 range.

Yes, it's the same old song and dance because that's the tune the speculators keep playing. And once again big oil will announce the largest profits in history, but still contend they need tax break after tax break to remain solvent.

 

The Saudi's disagree with you:

http://www.mcclatchydc.com/2011/05/25/114759/wikileaks-saudis-often-warned.html