Posts
970
Joined
2/28/2007
Location
St. Petersburg, FL, USA
Edited Date/Time
1/26/2012 9:13pm
I don't know all the details on how this would work, and I doubt anyone here will exactly either. But, why can't someone in congress put the oil companies under a hearing? Didn't something very similar to all this happen back in the early 80's with Bell south? Congress put them under a hearing, and determined that they had a monopoly on the market and weren't practicing fair trade? And then broke the company up into smaller ones, which seem to have just been slowly growing back into bell south or rather ATT.
Is this possible, or am I missing a big piece of the puzzle.
Is this possible, or am I missing a big piece of the puzzle.
Google it.
23 minutes ago
WASHINGTON - Federal regulators are six months into a wide-ranging investigation of U.S. oil markets, with a focus on possible price manipulation.
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The Commodity Futures Trading Commission says it started the probe in December and is taking the unusual step of publicizing it "because of today's unprecedented market conditions."
Crude prices have risen more than 42 percent since early December, when they hovered below $90 a barrel. Gasoline prices are nearing a national average of $4 a gallon, up from about $3.20 a year ago.
The agency said details of the investigation remain confidential.
The Commodity Futures Trading Commission
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By the way...I read an article on Yahoo news a week ago about the crude oil market investigation. In that article, it was stated that according to the Commodity Futures Trading Comission, in 2002, speculative trading of oil futures accounted for 25% of the market transactions. The other 75% was accounted for by refiners who actually took delivery of the oil they purchased. As of 2007, speculative trading accounted for 75% of the market transactions. So now, 75% of the oil futures contracts purchased by refiners are purchased from speculators. The speculators make billions, the oil companies make billions, and the refiners and end consumers end up paying the bill.
In my opinion, the only thing governments around the world can do is cap the percentage of oil, gas, heating oil, etc... futures to reduce the amount of speculative trading. They couldn't cap the price of the futures because somewhere, a country wouldn't cap the price, and the countries with caps wouldn't be able to purchase the products they need.
It's just another balloon. There are fewer and fewer investors that take a long approach and diversify across a wide spectrum........today, they all look for the next bubble, and try and ride it as far as they can. Everybody wants a quick buck.
There's nothing stopping anybody on here from putting up some bucks and buying oil futures........ride the wave up. You can make a ton of money, and it ain't rocket science.
'Course........if it the price drops and you can't cover it.........you're fucked. That's the problem with these balloons.......eventually the music stops.......and somebody ends up without a chair.
Why won't OPEC increase production?
About 10 years ago, I read an article in Scientific American that described the situation of the world's oil supply. Now, granted that recovery technologies have improved. However, that article predicted the economically recoverable oil supply on the planet would go over the 50% mark right around 2010, and prices would begin climbing.
Any relation?
Guess that makes those ordinary folks evil manipulators stealing from the rest of us, too, right?
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