Posted on 04/27/2012 4:55:28 AM PDT by SeekAndFind
obama knows that. obama knows what he is doing. The fools that worship and blindly follow him may not know, or care, but obama knows full well what he is doing. He also knows what he has planned for the fools that blindly worship him, follow him, and do his bidding.
Am I the only one that is getting plain fed up with our side accepting the premises of the left and arguing based on those premises?
Blaming speculators assumes that Obama & his ilk care about high energy prices. False premise.
Good article. Thank you.
Exactly. Obama is engaging in classic Marxism. In a free market economy, we call these people “investors”. They build businesses. They build industries. They hire people. Well, Obama hates “investors”. He uses the Marxist term of “speculators” instead. He wants them stopped. He wants to hurt the economy. High energy prices are central to his overall plan. The guy is doing as much damage to personal and economic freedom as he can.
Why is it that we have to participate in the “global market” at all, if we have sufficient potential to provide our own energy with our own domestic market prices?
The Victor Davis Hanson article today was good.
Obama sees capitalism as “neo-colonialism”, exploiting, all over again, his “daddy who abandoned him”.
What were the 'economic fundamentals' that led to the spike in oil prices in 2008?
That drives up prices on the futures, which are then sold at inflated prices.
That is what is happening today. Even Eric Bollings, who worked in that business, said that.
Require real assets to cover the trades and that problem instantly goes away.
The millions of dollars of contributions from Oil Interests to the DNC and The Messiah’s Re-Election coffers are used to keep additional oil off the market (Keystone, Offshore Drilling, ANWAR, etc.). Follow the money, as always.
But regular unleaded is down about 13 cents in this area since he did it.
Victory lap commencing in 3......2.......1.......
>>In a free market economy, we call these people “investors”
If it was their own money, BUT...
http://www.zerohedge.com/news/guest-post-hard-evidence-bailed-out-banks-take-more-risk
...it’s not.
“Gee, Moses has been up on that hill an awful long time, He and his God must be dead; so hey, screw them and their moral “Law” we’ll just throw everybody’s gold into the fire and worship what comes out, again.”
It’s a Ba’al out, get it? {badumpump}
Apply your logic to the Natural Gas Futures traded on the same rules.
Not to mention far more oil is traded in markets outside the US than on the NYMEX.
There is a 17 year cycle in oil that has repeated itself many times [1974, 1991, 2008]. Every 17 years we see a spike in oil followed by a rejection of the high by 50-75%. I have traded oil and I will tell you that I was looking for a high in oil prices in 2008. And it was the day that Goldman Sachs came out and said [with prices at $140] that oil was going to $200.00. I knew that was the key statement to the high in price [never go with what Goldman says]. That week [July 7, 2008] we put in a doji on the weekly oil chart [sell signal] and oil fell to $39 by year-end. Nobody blamed me for causing prices to drop $100.00
Now here is the real culprit .. State Gasoline taxes. The average profit for Exxon on a gallon of gasoline is about $0.02, and the average state tax on gasoline is $0.48. The scariest thing is that the average American is too stupid to realize the media and administration has this all wrong ... even O'Reilly has drunk the Kool-Aide.
http://thespeechatimeforchoosing.wordpress.com/2011/04/29/the-truth-gasoline-taxes-vs-evil-exxons-profits-plus-why-oil-prices-are-so-high/
I would guess they were the same “economic fundamentals” that caused the price of gasoline to plummet from over $4.00 a gallon to about $1.50 basically overnight.
I always suspected speculation was a major factor in oil pricing, but after Bush signed the executive order to expand offshore drilling and the price collapsed so quickly - with zero change in the actual supply OR demand for oil - I no longer have any doubts.
As another has said, Eric Bolling, a former “oil man” and solid conservative, will tell you that speculation has a huge effect on the market and people who do not actually consume the oil control a majority of the market. I’m not sure why this is considered “investing” by some because it isn’t. Imagine what the prices of food, clothing, and housing, etc., would be if 75% of the perceived demand for those items came from people who didn’t actually use them.
Nope. And I believe I know why the Establishment Republican Party sabatoged and eliminated our [Conservative[s] candidate[s] early on, thus enabling , barring a miracle or accident, obama to be re-elected.
I’m glad you mentioned natural gas. If we are to run around blaming speculators for the high price of oil, we have to blame them for the record low price of natural gas.
The way that government interferes is by raising margin requirements. This is what they did last year with Silver futures and it collapsed the price.
If commodity trading is used by someone to moderate their exposure to volatility, then it is not speculation. If someone is using it to try and make money it is speculation. But you need both to keep the market going.
If a farmer and an onion buyer are standing by the road negotiating a price for the farmer's onions and two guys are standing on the other side of the road betting on the outcome of the negotiation, how does their betting influence the negotiation on the other side of the road? I think it does not.
1) Japan is having to use oil for much of its electrical generation to make up for the shutdown of its nukes, therefore offsetting the large drop in gasoline consumption in the US as of late,
2) The Obama Administration's actions have helped increase the tightness of supply by cutting back on American exploration and development, and
3) In market conditions where supply and demand are tightly aligned as we see now, the high leverage for speculators allows them to drive up prices well beyond what we have seen in the past for such conditions - namely in 2007-2008 and 2011-2012 - the bubble is generally short-lived but very profitable for those who can also short it on the way down, and it is painful for the consumers having to pay the higher prices at the pump.
There is no one factor causing these price spikes, several factors have to be in alignment. Unfortanately, too many involved want to point at other culprits and not realize the culpability across the board nowadays.
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