Posted on 07/30/2008 2:34:30 PM PDT by ncfool
I know that speculators compounded the problem recently, but how much of the run up was due to increased demand, how much due to supply bottlenecks, and how much was due to speculators? I have no idea, but my guess is all three played some role in the price adjustment. If you want to punish speculators, let the market do it. How many do you think took it in the shorts when the price dropped recently? Anyway, I think this is a bad idea.
Yeah right! Kill the NYMEX so that all the oil contracts go to Iran’s new emerging oil exchange! Not a good idea!
Speculate: 1a: to meditate on or ponder a subject : reflect
Are you a commodity speculator? If so, its probably a good thing.
Congress critter ping!
You can ban oil speculation all you want,,, the speculators will just speculate in foreign markets
No thanks. I’ll just stick with my tagline. My congressman, Ted Poe, is all for it!
Wrong message !
Increase domestic supply, the market will take care of itself.
Yeah because nothing bad has ever happened when the government set the price for basic commodities (yup that’s sarcasm).
You do realize that the oil price is set globally and therefore all congress could really do is make it so American companies are unable to meet the price and therefore unable to acquire oil and therefore unable to turn oil to gas and therefore unable to sell you and I gas and therefore we’d become 1970s China and all riding bikes. And no this paragraph isn’t sarcasm.
On second thought.............
Threaten to increase domestic supply, and the market will take care of itself.
So you were against speculation when oil went from 146 to 121?
Your profile says you are for freedom. No, you are for government taking away the freedom of the free market. When has government worked? Never.
This is just ONE reason why government planning can NEVER work:
http://www.mackinac.org/article.aspx?ID=9529
Economist F.A. Hayek, most famous for his book “The Road to Serfdom,” developed a theory typically called the “knowledge problem.”
Essentially, Hayek argued that no one individual, or even group of well-informed individuals, could ever have enough knowledge to plan a market. Hayek said that knowledge was localized, meaning every individual has the best knowledge about their specific place, condition, needs and resources, but no one had enough knowledge about anyone elses to make decisions for them.
Hayeks free-market ideas were seen as sound reasons why government cannot, and should not, attempt to control economies.
http://www.mackinac.org/article.aspx?ID=9529
You are a Marxist in my opinion and so you are against freedom and against the prosperity that Capitalism brings.
It’s impossible to drive prices in the manner we have seen in a physical delivery market (which oil is) through ‘speculation’. The problem with manipulating a physical delivery market is that somebody inevitably takes delivery of a lot of crude oil. It isn’t an advantage to ‘speculate’ the long side of such a market unless supplies are tight.
Otherwise, all the physical buyers would have to do is pull their bids close to expiry and the long speculators have to sell *cheap* to avoid taking delivery. Somebody is taking delivery of a lot of high-priced oil because they can’t get it anywhere else.
While you may get volatility moves of $10-$20, what you are seeing oil price-wise isn’t speculation. It is supply/demand imbalance. Prices aren’t going back to $60 unless somebody starts pumping a *lot* of oil, and that isn’t going to happen.
Everytime I write Dennis Moore he writes back and says:
“Thank you again for contacting me. While we seem to disagree on this issue, I am confident that there are a number of other issues on which we do agree. I hope you will continue to keep in touch and please feel free to let me know whenever I may be of assistance.”
So we need to keep the heat on the Bums who do not vote the will of the people.
Amen, Toby
Nada
Conservatives express well reasoned thoughts, not emotions. The hoopla over speculation is emotional.
NC Fool indeed. If you want the government to interfere with markets, rather than let them be, you are not a limited-government conservative; you are a nanny-statist.
If you interfere with the energy producers, the prices will go up. Its not that complicated.
But if you are a politician, and your career is based on obstructing energy projects, you’re not likely to blame yourself. Who are you going to blame? The producers. The people who work and invest to bring you energy, you’ll blame them. You’ll blame them danged speculators.
And out there in Oprahville, they’ll probably be satisfied with that explanation. But blaming the brokers who buy and sell won’t get you one more fluid ounce of oil. Increase supply, and you’ll increase supply. Amazing how that works.
If you want to send less money to the sheiks, you’ll have to drill somewhere else... like here, for example. Again, this is not that complicated.
If there wasn’t enough oil here to make any difference, as the pols keep telling us, there wouldn’t be any need to ban drilling everywhere. They have to ban drilling because if they didn’t ban it, we’d be drilling... because there is oil down there. Again, this isn’t that complicated.
Pointless drivel. Take an econ class.
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