From the article........
“World crude oil production is about 80 million barrels of oil a day.
U.S. crude production is about five million barrels a day, or four percent of world.”
Huh? Neil. Where did you learn to cipher? Using your figures it should be 6.25%. You missed it by over 50%. If you don’t have the intellect to do the basic math then how can you even understand the world of Oil Futures?
I’ve ranted several times on FR, about the rampant innumeracy in the MSM. It does cut into one’s credibility. However, I’m always to cut anyone who agrees with me some slack. :-)
He’s right on the big point — futures speculators don’t affect the cash price of oil. It’s a big diversionary trick by the real culprits — Democrats and “environmental” organizations. To them, $5.00/gallon gas isn’t a problem — it’s part of the solution.
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.
Take a look at post #14 1/2. Yes, I said #14 and a half. Is this one of you guys joking around? lol