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To: Brilliant
The price of oil has been going up a lot faster than the dollar's decline, and I have a hard time believing that overall world economy, being driven by oil, has grown as fast as that price either.

My guess is that the oil price is being driven by speculators who're buying it up. At some point, they'll have to release that oil back onto the market, which will cause its price to plummet. Similar to the "housing bubble" of a couple of years ago.

8 posted on 11/07/2007 6:27:20 PM PST by raisetheroof ("To become Red is to become dead --- gradually." Alexander Solzhenitsyn)
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To: raisetheroof

There is no oil shortage to boot. These speculators can be brought to their knees fast. The SEC can say anyone that buys oil contracts going forward WILL TAKE and OWN DELIVERY. That’s all. You can’t easily fit a ship into some cubicle and the price drops to normal.


18 posted on 11/07/2007 7:21:02 PM PST by BobS (I><P>)
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To: raisetheroof

I am of the mind that the Bush administration is causing this decline of the dollar...to trip up the Saudis and cause the shift to the Euro being the standard for oil purchases. This chatter continues to be made around Europe with speculation that the Saudis will eventually dump the dollar when it goes beneath the .60 point.


34 posted on 11/09/2007 10:55:09 AM PST by pepsionice
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