[thackney]

This was before the creation of the futures markets where speculators never took possession of the commodity.

Crude Oil Futures have been traded on the NYMEX since 1983.

What is different now from the 80's and 90's is the low margin of supply.

[dirtboy]

Crude Oil Futures have been traded on the NYMEX since 1983.

NYMEX has transparency and will enforce position limits where mandated (aka Amaranth). ICE has neither. That is the entire problem.

And given you only need to put up about 8 percent on margin for commodities futures, you can leverage the bejabbers out of any cash you put in.

[RSmithOpt]

Understood. I've read the EXXON is selling its stations as 'there's no money in gas'.

I don't understand?

I thought that 44% of the motor fuel consumption in the US was attributed to the private consumer with freight transportation, public transportation, agriculture and the government using the remaining 56%?

I think the futures markets are needed now in today's world, however, there appears to bee some manipulation to some degree.

I would have thought that recently as 18 months ago OPEC spokesmen said "we don't want to see $100+ oil", but it's here. When the prices started to slip from the $130+ range, they cut back on production???