Posted on 06/26/2011 5:26:14 PM PDT by Abathar
I was just wondering if some knowledgeable freepers could enlighten me on Obama's release from the strategic reserves and the sudden and severe drop in oil prices that occurred within minutes of his announcing it. I'm wondering exactly who has to agree with this for it to happen, or is this something that is entirely up to the President's whim.
The reason its been bothering me is a few weeks ago I heard about a group of traders that slowly bought up millions of barrels of oil on the open market over a span of months. It was small purchases that normally are bought and sold quickly but in this case they held on to them until they had a very large amount. I don't remember the exact amount, but what I do remember is when they dumped them all on the market at the same time the price of oil plunged steeply. No one knew where this large amount of oil had come from, but the markets shift was both abrupt and quite large.
This group of investors planned for this and they had sold their oil short. In a very short amount of time they had made an incredible amount of profit, many hundreds of millions of dollars worth. The part of the story I remember most is the talking heads admitting that they didn't even know if any laws were broken by them doing this.
This brings me back to Obama and what he did that was almost exactly the same thing as these traders did. Since I don't trust the SOB further than I can throw him, my mind wandered as to who could benefit from knowing beforehand whether or not he tapped those reserves? Who exactly would know in advance of him making that announcement?
One phone call a day before the announcement could mean untold millions of profit for anyone in the markets who could sell short, like the group of investors did recently I mentioned. Is there any way of seeing if big time Obama supporters and donators places buy and sell orders before the announcement, gambling on sudden major drops in the price of oil?
Its horrible to think our own President capable of stooping this low, but I just can't see him passing up on an opportunity to enrich his backers so easily by not letting word slip to a few big traders. On another note since McCain/Feingold was struck down these companies can turn around and put some of this profit back into the Democrat election machine and still make a fortune.
This just all seems too easy to me, what am I missing here? Where is the checks and balances or oversight on decisions like this?
The Bisexual Kenyan promised Goldman that would would get them Cap and Tax and failed to deliver. So the sissy muslim told Goldman he would help them make it up through the oil markets as a consolation prize.
Goldman told the public to BUY, but of course their traders were SELLING.
http://wallstcheatsheet.com/stocks/goldman-sachs-buy-oil-now.html/
Now they’re telling the public to BUY the dip, while they continue to SELL.
Obama and the Goldman oil traders are laughing their a**ses off.
It's a pretty good short term fix until you have a real national emergency or OPEC cuts off supply or another country in the M.E. implodes.
Like everything with Mr Soetoro, it's done for show and he has no real plan. A real fix would be , start selling oil leases to US firms , use that money to start retiring some debt, release a little from the reserve to carry us until new production starts ramping up.
At first I thought QE3 without printing. I’m wondering if the August delivery is to quell the oil spike after Chavez’s death.
Libya produced light sweet crude(low sulphur). Most of europe’s refineries can only handle light sweet crude. Saudi’s, who claimed they could make up the difference have sour crude.
The strategic patroleum reserve contains light sweet crude but will only supply europe with a couple of weeks of oil. Thus the push to assassinate ghadaffi.
It’s a test. He wants to see if it will cause gas prices to drop. If so, he will use it in next years election - even to the point of emptying it. At that point it serves 3 purposes. It weakens America, helps him buy votes at the pump, and as someone else said, Soros makes a bundle.
Geithner needed some cash flow.
Cover for Democrats who failed, this is from September 28, 2010;
Economy, health care among topics for Walz’ visit
http://mankatofreepress.com/local/x535472508/Economy-health-care-among-topics-for-Walz-visit
In addition, he said efforts by the Democratic Congress to boost renewable energy and expand off-shore oil drilling will stabilize energy prices by making America less dependent on foreign oil.
Baraq told us previously that drilling ANWR (which has the potential to provide about the same oil flow as the “release” ) wouldn’t lower world oil prices.
Wonder if anybody from the MSM will remind him of that in the next presser?
Because, viewed in the rear view mirror, the bumper sticker that is the sound-bite mentality depth of his minions will still say “0bama lowered gas prices”. It wouldn’t freaking matter if in 6 months gas was $6 a gallon. To his drones, it will still be “0bama lowered gas prices” and “Bush was an oil man, this is his fault”. Then you and I will ask them “what about gas being $6 now?” And the answer will be, “at least he tried”.
Bank on it. 0bama has coined a new bumper sticker.
The government sells the oil to qualified buyers. To qualify, you don’t even have to be in the oil business; you just have to be a friend of the Democratic Party. You get the right to buy so many barrels of oil from the strategic reserve. Since you don’t have any refineries, and aren’t really even in the business, you sell your rights to someone who is in the business, like Exxon-Mobil.
As I recall, when Clinton did this many years ago, one of Jesse Jackson’s sons (or nephews, I forget) was awarded the rights to a few million barrels, which he promptly sold for some obscene amount of money.
If you can figure out who gets to buy the oil, you can see who this year’s Lucky Democrats are.
It enables the media to confuse the public by letting us think that he has ameliorated the problem, and it also lets Obama use up another safety net, so the US will be even more defenseless in the event of an actual emergency.
From the perspective of someone who is out to destroy the US as we know it, what’s not to like?
It enables the media to confuse the public by letting us think that he has ameliorated the problem, and it also lets Obama use up another safety net, so the US will be even more defenseless in the event of an actual emergency.
From the perspective of someone who is out to destroy the US as we know it, what’s not to like?
Interesting times we live in, Nick. Barry the bastard orders flooding of the farm zone red states while he doles out graft to his hench thugs, Chicago style. Holder’s people are being trained to ‘flash mob’ for effect while executive orders cancel state laws. Interesting times, fellow old one.
$oro$ was very happy!
Pray for America
Did you machine yours on a lathe and then give it a mirror polish?
There is no question of those chosen few is himself. Make no mistake about it, it’s likely that George Soros or somebody that has a numbered company or fund that will be transferred to Obama soon after he gets out of office.
Here’s a different tinfoil hat theory: the oil market has been getting soft in recent months, thanks to a slight decrease in demand, driven by the surge in prices over the past two years (don’t forget: the average cost per gallon in the U.S. when The Anointed One took office was $1.88 a gallon). Obama and his economic team want to push them down even further.
Why? Beyond the obvious political reasons, consider this possibility. Perhaps they’re expecting another big run-up before the end of the year, and they’d rather have the surge begin closer to $3.00 a gallon, rather than $4.00, the so-called tipping point at which oil and gas prices become a major consideration for voters.
And what will produce the next big jump in oil and gasoline prices? Iran joining the nuclear club, an event that is likely to occur before the end of the year, and perhaps within the next two months.
LOL, I could have. Put a couple of horns on it like the guys from capital one commercials too....
It is a way to give away $3 billion (30 mmbo x $100/bo = $3 bn) in Quantitative Easing, without ramping US National Debt, as a gift to Germany and France, who buy a large chunk of Libya Oil.
France and Libya opened a pretty large can of Whoop-ass up on Qadaffie at the request of the kenyan and his women Samantha and Hillary.
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