Posted on 07/10/2008 8:28:07 PM PDT by roostercogburn
The Commodity Futures and Trading Commission (CFTC) is investigating trading in oil futures to determine whether the surge in prices to record levels is the result of manipulation or fraud. They might want to take a look at wheat, rice and corn futures while they’re at it. The whole thing is a hoax cooked up by the investment banks and hedge funds who are trying to dig their way out of the trillion dollar mortgage-backed securities (MBS) mess that they created by turning garbage loans into securities.
(Excerpt) Read more at operationawakening.wordpress.com ...
Our heroes are able to sell contracts to unwitting buyers at the top of the Market. When the real report comes out, the Dukes realize they will not be able to sell produce for enough money to cover the costs of the contracts they've bought, so they try to sell. Too late. Other commodities traders can now estimate the actual availability of produce based on the report and there is a frantic sell-off. Our heroes have been able to sell high. Now they can buy very low. The Dukes are unable to cover their costs and go broke. Our heroes get rich.
The movie is actually a pretty good illustration of why a bubble in the oil market couldn't last very long; at some point these contracts will have to be sold, and if there has been a purely psychological market bubble, anyone with significant holdings at current prices will be ruined, just like the Duke brothers.
Dan Akroyd and Eddie Murphy at the height of their comedic careers, a lesson in market economics, a story about equality and racism -- mostly without liberal pretensions or sanctimony, and a scene with a great shot of a young Jamie Lee Curtis's ta-tas.
Surely everything a red-blooded American boy would want in his theatre-going experience.
Another chump. If as the author suggests per the WSJ that oil would be $30 a barrel instead of its present price had the dollar been as good as gold then its the fall of the dollar and not speculation that is driving prices.
Then it’s margins that bedevil the market indicating he has no idea of the function of margins.
Finally it’s “the parasitical investor class” that is at fault. Garbage!
You forgot about the fact that it’s really all Bush’s fault. That’s in there, too.
The Saudi King said that the world oil price for oil should be 50 to 70 dollars and that the current price was speculation.
Along with links to: Bush’s Illuminati Bloodline, 9/11 Inside Job, FEMA prison camps, OK City bombing caused by bombs inside the building. All good stuff if a person believes The X Files is fact.
What is the F.O.B. price Saudi Arabia? Not $60 or $70 a barrel I bet.
FOB price Saudi is I think something like 136 or 137 per barrel.
Anyway that is what I read earlier today in the business section.
Feel free to correct me I could be off.
Are the Saudis still charging the Asian countries a premium over what the US pays?
Yes all those naughty little bits are there if you want to rummage around; but I meant in the linked article itself. Speaking of rummaging around, in case you missed it, an oldie -- but an OH SO delicious goodie from the halcyon days of my yesteryears... savor it... savor it...
... water fluoridation ...
General Jack D. Ripper, are you there?
Marginal Propensity to Consume has kicked in big time.
The US and the world has spent and bought at a pace that simply is not sustainable especially when you have so many bad decisions being made by Harvard trained financial experts worldwide.
I see these unsustainable oil prices backfiring on Opec as more and more industries start to fail because Joe Sixpack or Charlie Chan can't buy his next favorite toy because he has to buy food and gas.
I base my opinions on shopping for groceries each week for our household.
In fact last week I was over at the back of the local Wal-Mart and all the Roll Back Price signs was in the dumpster, so I figure things are not getting better any time soon.
It implies that there is a bubble in oil but there isn’t. It’s a common (too damned common) misunderstanding of how markets work.
If you mean that in the same way that our actual foreign policy resonates with a Bruce Willis movie, then sure.
There is no energy bubble.
There is no bubble.
I’m too tired to write it all out again, but there is no bubble. Look up any of the 12 gazillion posts I’ve put up about it if you want to know why.
And if there’s one person we can all trust to tell us the truth it’s a Saudi prince right?
There is a difference between oil and tulip bulbs. One you can carry in your pocket,the other is bit messy.
The price off oil will crash when demand drops and the Saudi’s will cry. And the investigation will crash when Pelosi does’t need a scapegoat.
I didn’t say that I trusted the Saudi spokesman.
I just repeated what he said.
Whether or not you believe them is your business, but I don’t trust anyone who wears a perfectly good bedsheet out side the bedroom.
I don’t know what Asia is paying but I did find it a bit ironic for someone to say crude should be this price but I’m going to charge that price.
Thank you so much. Everyone can see that you're adamant about this "there is no oil bubble" issue.
Many of us recognize that the price has more than doubled in less than a year, while the demand has remained flat, and supplies have remained relatively steady. At least, we know that supplies have not been cut in half.
We also are aware that the volume of speculative investment in oil futures has increased in the past year, in the form of new index investment vehicles designed to evade existing US regulations. And we're aware that the volume of oil being held by these new non-consumer investment indices has tripled the amount purchased as futures.
Many of us also recognize that the spot price of oil, and subsequently gasoline, will fall, perhaps rapidly, after:
We don't have to call it a bubble. We could call it a crying shame, or a shameless crime, or outright treason, or simply unethical behavior in the market.
This is a prime example why our financial markets have to be regulated in so many different ways. Civilized people cannot trust vultures and snakes to regulate their own behavior.
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