SexyBossyBBW
Posts: 1693
Joined: 2/25/2010 Status: offline
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quote:
ORIGINAL: Edwynn The point was that there are other drivers to the market than US trucks, and that European countries tax the market. I never said US was the only oil consumer of significance. US is however, the largest oil consumer in the world, and Japan is in trouble. While I agree that your statement will be reality some day, I disagree, this is the day/month/year, given the fact that without speculative traders of commodity futures, we are perfectly comfortable with the current abundance of oil, and pricing. quote:
http://depausa.org/media/view/oklahoma-news-report-cushing-oil Prices at the pump don’t reflect it, but there is actually an oil glut at the hub in Cushing, Oklahoma. There is so much oil at the Cushing facility that extra storage capacity is under construction to hold it all quote:
http://www.theatlantic.com/business/archive/2011/04/goldman-speculators-driving-up-price-of-oil/237207/ Goldman Sachs chief energy analyst David Greely said the recent run-up in prices, in which Brent rallied as much as 33 percent since the start of the year, looked overdone. "While prices are back at levels of spring 2008, supply-demand fundamentals are significantly less tight," Greely said in an April 12 note emailed to clients. "We believe that the market will experience a substantial correction toward our $105 a barrel near-term target for Brent crude oil in coming months," he stated. quote:
http://peakoildebunked.blogspot.com/2008/05/355-banks-hoard-oil-in-storage-tanks.html The oil futures market has gone into a state known as "contango". I'm not going to go into any detail on the specifics -- if you're curious just do some googling. As a layman, all you really need to know is that, thanks to some complicated financial mumbo-jumbo, banks will now begin to hoard oil in storage tanks, driving up the price. And then they will sell that oil back to the public for obscene windfall profits
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"..touching was and still is and always will be the True Revolution" Nikki Giovanni "Only when there are many people who are pools of peace, silence, understanding, will war disappear." -Osho
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