There has been much concern about the slowing demand and rising inventory of crude oil. Despite this concern, crude oil futures saw a slight gain today. It's going to become more difficult for these gains to continue though, because the U.S. demand is beginning its yearly decline.
On the New York Merchantile Exchange, the crude has traded for October delivery at 24 cents, or 0.3 percent to $74.06 a barrel. There were numerous traders who had hoped to see an incline in gasoline consumption, but that did not happen. Investors fear continues to mount as it's becoming clear that the annual Fall decline will be even more pronounced.
Earlier this month, several money managers including Hedge funds, took speculative positions on the increasing oil prices which topped almost $80 a barrel. According to the Commodity Futures Trading Commission, these money managers have now changed their tune and are leading the way out of the oil market all together.
Analysts from Societe Generale wrote, "The bottom line is that even though recent actual demand figures from key countries such as the U.S. and China remain healthy, high inventories are unambiguously bearish."
Showing posts with label Commodity Futures Trading Commission. Show all posts
Showing posts with label Commodity Futures Trading Commission. Show all posts
Monday, August 23, 2010
Tuesday, July 28, 2009
CFTC Caves in to Government
Government Interference in Oil Markets
Somehow the Commodity Futures Trading Commission, which has always said it has never found a correlation between speculation and oil price swings, has suddenly got regulation religion, and now says it's ready to go before Congress and 'admit' speculators are playing a huge role in price runups. This is plain evil, and an investigation needs to be conducted on where this new found information has come from, and if shady politicians and some big energy companies are behind the new found information.
Any price swing in any commodity can happen short term with commodity investors, but to say that is what's behind the price swing of last year which pushed oil prices up is in itself huge speculation, and just another attempt by the socialist Obama and Democrats to attempt to play god, thinking they can alter the age-old reality of supply and demand.
One of the major reasons this is ludicrous is commodity investors can make money when prices go up and down, and so the idea they can push prices up on their own has no merit, and supply and demand always bring it back to reality either way, as consumer respond to price swings. It's as simple as that, and the strong-arming and dishonesty emerging concerning so-called speculators being able to manipulate the market in any meaningful way is just ugly and a lie.
Some Democrats need to be investigate concerning this, along with the Commodity Futures Trading Commission to see if there is any criminal activity concerning this sudden turn around by the CFTC, which is unprecedented.
Misguided and misinformed watchers say this will help consumers. No it won't. Consumers do struggle at times when prices swing up, but they also profit tremendously when prices go down. To say government regulation of the oil market will make a difference is stupid and ignorant.
The failure of socialism and turning of communist countries to capitalism has already shown that governments cannot and should not attempt to interfere with any market, as the unintended consequences that always follow never seem to teach them to stick to minding their own business, rather than interfering with the market place.
Government Interference in Oil Markets
Somehow the Commodity Futures Trading Commission, which has always said it has never found a correlation between speculation and oil price swings, has suddenly got regulation religion, and now says it's ready to go before Congress and 'admit' speculators are playing a huge role in price runups. This is plain evil, and an investigation needs to be conducted on where this new found information has come from, and if shady politicians and some big energy companies are behind the new found information.
Any price swing in any commodity can happen short term with commodity investors, but to say that is what's behind the price swing of last year which pushed oil prices up is in itself huge speculation, and just another attempt by the socialist Obama and Democrats to attempt to play god, thinking they can alter the age-old reality of supply and demand.
One of the major reasons this is ludicrous is commodity investors can make money when prices go up and down, and so the idea they can push prices up on their own has no merit, and supply and demand always bring it back to reality either way, as consumer respond to price swings. It's as simple as that, and the strong-arming and dishonesty emerging concerning so-called speculators being able to manipulate the market in any meaningful way is just ugly and a lie.
Some Democrats need to be investigate concerning this, along with the Commodity Futures Trading Commission to see if there is any criminal activity concerning this sudden turn around by the CFTC, which is unprecedented.
Misguided and misinformed watchers say this will help consumers. No it won't. Consumers do struggle at times when prices swing up, but they also profit tremendously when prices go down. To say government regulation of the oil market will make a difference is stupid and ignorant.
The failure of socialism and turning of communist countries to capitalism has already shown that governments cannot and should not attempt to interfere with any market, as the unintended consequences that always follow never seem to teach them to stick to minding their own business, rather than interfering with the market place.
Government Interference in Oil Markets
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