Today big oil says oil speculation not part of the problem,,,,WHAT?

You have got to love these guys. They come out and say oil speculation is not causing oil price to rise and that its all econ.101 supply and demand. That is BS!. Just last week Iraq threatened to block oil and the price went up immediatly. This ditty below is from the article. They have got to know Americans see through this. In the short term, for our sake ,stop the ban on US drilling. Big oil holds the leases, they know exactly where the oil is. Make them drill, make them spend to expand refining capacity. Make us become energy independent from 3rd world oil and see what happens. We have the techology, we have the oil, we can make us bigger, stronger, faster. :-) We need to fix this first along with the economy. Go for nuclear, solar, wind. Don't put our eggs in one basket.








U.S. light crude was up $1.64 at $141.85 a barrel by 10:59 a.m. EDT, after a record high of $143.67 a barrel, supported by concerns over tensions between Israel and Iran over Tehran's nuclear program.Today big oil says oil speculation not part of the problem,,,,WHAT?
Markets oversupplied, however all this speculation bs has oil trading at far higher prices than normal demand would dictate. Oil is an inelastic demand, but the supply is also inelastic. Demand has not outstripped supply, so there should be an equilibrium pricing, but since we will buy are gasoline at whatever price it refuses to stabilize. I believe most of the pricing of oil occurs on paper barrels, aka speculation. Kind of ridiculous for the market to be this volatile when oil contracts are delt out months in advance.





I have heard stories that Iran is not selling its quota and even has leased oil tankers because it ran out of storage, but the author did not cite a source, so I am still waiting on that information. I think Opec is pumping out all the oil it cares to do. Just not profitable for them to increase production when they are already making a killing at current sales.





Point is, I do believe pricing will only continue to increase, but the driving force behind it is beyond simple economics.Today big oil says oil speculation not part of the problem,,,,WHAT?
Some say closing the so-called ';Enron exemption would cause prices to drop between 25 and 50 percent within 30 days. il drilling might tale 10-30 years to pay off.





Meanwhile, the State Department has been helping the raqis write their oil leases with Big Oil





Riiiiight. No conflict of interest there.
there is one reason and one reason only to the rising oil prices, to crush the Greenback
Remember the 70's same old BS