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To: xjcsa; Toddsterpatriot

“Where do they store the oil they buy?”

They don’t actually buy the commodity, they buy market futures.

http://en.wikipedia.org/wiki/Futures_contract


75 posted on 06/02/2007 7:18:22 AM PDT by MNJohnnie (If you will try being smarter, I will try being nicer.)
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To: MNJohnnie
They don’t actually buy the commodity, they buy market futures.

I know. I was trying to explain to the other poster that speculators don't raise the long term price of oil because they don't take supplies off the market, because they don't store it. He still doesn't understand.

83 posted on 06/02/2007 7:29:10 AM PDT by Toddsterpatriot (Why are protectionists (and goldbugs) so dumb?)
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