Posted on 06/28/2008 11:18:13 AM PDT by HawaiianGecko
Ping
Speculation has nothing to do with it.
You teach business, and you think a speach means nothing?
Dang. What school? I want to make sure my kids go elsewhere.
This is caused by new phenomena in the futures markets in which large institutional, long-only, investors are entering, and using some tricks like swaps to get around margin requirements by being classified as "commercial" traders.
You can deny that there is currently a structural problem in the futures markets until you're blue in the face, but the fact is that CALPERS and other large pension funds, combined with big Wall Street firms which have discovered "swaps" and need somewhere to park their money after pulling it out of subprime mortgages and real estate are having an effect.
Oil should be $40-70/bbl., when you take into account actual supply and demand.
Please do not insult me with your non sensical comments. You might disagree and say that Bush should give speeches every day, every hour, and every minute to beg Congress for new legislation. I doubt that any speech Bush makes will make any difference.
Many of Bush's speeches call for more energy development. Until Congress takes action consistent with his speeches, energy markets will not improve. At this time, the prospects look poor for legislation consistent with Bush's speeches. For some reasons I do not understand, the voting public seems resigned to high energy prices. The Democrats have convinced a large part of the voting public that scapegoats are to blame and that there are no solutions except for the highly uncertain prospects of alternative fuels. Even though polls have shown that the public favors more energy development, the polls do not reflect a lack of support for Democrat candidates.
“You teach business, and you think a speach means nothing? Dang. What school? I want to make sure my kids go elsewhere. “
++++++
“Please do not insult me with your non sensical comments. “
++++
Yep - I REALLY want to make sure my kids go elsewhere.
Your understanding of business is trivial, Sir - you are a neophite, unable to plan strategically, or to see the impacts.
If everyone at a race track bets on the same nag, would that cause that horse to win?
People need an easy scapegoat.
speech
Prove it.
No never mind...I don't want to string you along. You won't be able to prove it because it isn't true. What you're saying makes no sense.
Yeah, ther is another language I can’t spell in.
In fact, I can’t spell in any of them.
It sure would change the price (odds) of a bet on the horse.
But you knew that, didn’t you?
I expected someone to point out that, if it were the Mafia betting; they would fix the outcome. But, if everyone else were betting on the bobtail nag; the Mafia would be betting on the bay.
If there is a need to fix anything, I would recommend requiring a 20% up-front investment in the oil futures. This would be similar to a prudent home lender requiring a 20% down payment on the house.
The 5% margin (some say it’s 7%) reminded me of how all those people in the roaring ‘20s bought stocks on a 10% margin, only to be left holding the bag when the market crashed. If we ever started drilling all-out and crashing oil prices, the speculators would be in a similar position. And when they are in hock, they won’t have money to spend in other areas of the economy, just like those unfortunate stockholders of the 1920s.
Forget switching! I would rather have high prices and speculation in liberty than low (controlled) prices and shortages in Democrat Hell.
When logic fails, the uninformed make personal attacks. If you want credibility on this forum, you should focus on the issues not unfounded personal attacks. The issue I raised is the relevance of speeches by Bush on the energy situation. Of course, Bush should continue to make speeches. There is some evidence that his speeches have had marginal impact. The speeches have not had enough impact to move the Democrats however. Until the Democrats feel the heat at the polls, the idiotic policies of the Democrats will prevail.
Please indicate your thoughts on the issue or other issues, not ridiculous and unfounded personal attacks.
Now that is an interesting thought.
What if CALPERS can’t cover its long position?
As I’ve read it, oil production is around 85 million bpd, while demand is currently around 86.5 million bpd (some say 87 million). With that difference between supply and demand, look for continued price hikes in the future.
My first thought, is that along with his speech, he should recind his executive order banning drilling.
But a business sophomore would know that.
I thought that George “Wonder Weenie” Bush the Elder or XXXlinton signed that exec order. And Bush the Younger apparently would prefer to let it stand until the legislative moratorium is repealed.
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.