Gas prices and Wall Street

[Guest]

Oil Prices Spike Exacerbated By Wall Street Speculation, Federal Reserve Study Finds (http://www.huffingtonpost.com/2012/03/20/wall-street-speculation-oil-price_n_1367896.html)

Now this makes a lot more sense than Obama's policies controlling the price of gas.

[Guest]

When gas prices go up, the President always takes the heat !!

I cannot recall in my lifetime (and that covers a long long time) always the President gets blamed and of course some of his policies MIGHT affect gas prices, but even your linked article blames only 15% of the increase on their source.

This gas increase plus an election year = what is happening !!

[Guest]

Wall Street traders are speculators by occupation and so they will react to the WH Admin energy policies as a factor in what they do or do not do

Presidents all seem to take credit for positive outcomes and claim to have no control over those negative aspects. The downward prices on natural gas had to do with policies enacted when clinton/Bush were in office. the same applies for any oil drilling. Obama has stifled fossil fuel exploration and those policies will show up but later down the road.

[Guest]

the blame can only be placed on the POTUS and most of the dolts in Washington as they over the years have done nothing about our enslavement to foreign oil. And Obama has continued with the legacy...or worse because he has been an impediment to most actions that involve increasing the oil or energy capability of America now or in the future.

btk

[Guest]

Even allowing for the story posted by the OP; if President Obama opened up "closed for business" US oil fields to drilling, the speculators would be taking a different tack in their investing and even before a drop of crude made it to an available gas tank the price would be reflecting the future of the coming US oil surge.

The prices at the pump would go down.

[Guest]

Even allowing for the story posted by the OP; if President Obama opened up "closed for business" US oil fields to drilling, the speculators would be taking a different tack in their investing and even before a drop of crude made it to an available gas tank the price would be reflecting the future of the coming US oil surge.

The prices at the pump would go down.

Ofcourse they would. Supply and demand. The AP had a story today saying no matter how much we drilled it wouldn't happen. Has the AP sold out?

[Guest]

Ofcourse they would. Supply and demand. The AP had a story today saying no matter how much we drilled it wouldn't happen. Has the AP sold out?

AP and Rueter's sold their souls to the Democrat Party, and especially Obama, years ago. The story in AP's take makes little business sense.

Watch how they'll report Obama's little reported trip to Kansas today as indication he might approve the Keystone Pipeline in order to boost his ratings, when it's all pap.

[Guest]

Oil production is at a all time high in the USA and demand is at an all time low......maybe some of you can figure out why the price continues to climb. It has very little to do with supply and demand. The midwest has a glut of oil so much that gas prices are down.

[Guest]

AP and Rueter's sold their souls to the Democrat Party, and especially Obama, years ago. The story in AP's take makes little business sense.

Watch how they'll report Obama's little reported trip to Kansas today as indication he might approve the Keystone Pipeline in order to boost his ratings, when it's all pap.

Yes they are. I did see through that one.

[Guest]

the US oil production may in fact be at an all time high. That statement by itself does not address the fact that our dependency on foreign oil has almost doubled over the last 40 years. The doubling of an insufficient amount to be independent from foreign oil is still = to an insufficient amount of domestic production to break the hold the foreign producers have on our energy use destiny.

Supposedly production is up while domestic demand is down. One reason is that refineries are exporting gasoline. So there could be a real demand on overall capacity while the domestic piece is down.

Another reason is that a significant number of refineries are not in production. Hence another impact on available capacity (and pricing).

It has been a point of discussion (no progress) for years that all the USA has to do is to announce it's plans to begin opening oil fields for drilling....increase domestic production and decrease import quantities AND become a competitor on the open oil market. The announcement followed by a long term plan would in fact have an impact on investors, speculators and foreign oil producers.

We have yet to do anything "substantial" (there is that word again!) to increase our domestic capabilities. It is business as usual in Washington on this subject. The speculators and investors and the foreign oil producers know it and have become accustomed and comfortable that politicians will do nothing to change the status quo of our energy capability.

We certainly don't want to upset our FRIENDS in the middle east do we? The current admistration certainly isn't by his energy lack of action(s). Please don't insult us with the so called green energy partisan BS!!

btk

[Guest]

and what is wrong with green energy?

[Guest]

Oil production is at a all time high in the USA and demand is at an all time low......maybe some of you can figure out why the price continues to climb. It has very little to do with supply and demand. The midwest has a glut of oil so much that gas prices are down.

waynet: the claim is that some of the oil refineries have shut down

I happen to agree with BTK. Obama's energy policies or lack thereof are harmful

[Guest]

Oil Prices Spike Exacerbated By Wall Street Speculation, Federal Reserve Study Finds (http://www.huffingtonpost.com/2012/03/20/wall-street-speculation-oil-price_n_1367896.html)

Now this makes a lot more sense than Obama's policies controlling the price of gas. It's important to note that this was the opinion of two economists at The Federal Reserve Bank of St Louis and not an official finding by The Federal Reserve.

What is being called speculation is actually Oil Futures trading conducted on The New York Mercantile Exchange. Traders buy and sell oil futures based upon what they believe the actual market price of oil will be when delivery is made.
This article explains it rather well. Oil price Q&A: What are oil futures and how are they traded? - Telegraph (http://www.telegraph.co.uk/finance/newsbysector/energy/2790647/Oil-price-QandA-What-are-oil-futures-and-how-are-they-traded.html)

Futures trading is essential to the economy because it provides oil producers assurance that there will be a market for their product and companies using diesel, gasoline etc. a basis from which to project costs and fulfill contracts. The railroads can project and quote costs for shipping since they know in advance what their fuel costs will be. You friendly airline can sell you a ticket for your summer vacation, based upon the knowledge of fuel costs. One good example of this was Southwest Airlines contracting to purchase oil for $55 per barrel for a period of several years when oil prices were below that. Oil prices rose, but Southwest's did not - resulting in a significant competitive advantage.

Demonizing Future Trading and calling it speculation may be good politics but does not deal with reality. The price of oil will continue to rise with summer driving season starting in June and the prospect of the closure of the Strait of Hormuz. Traders are playing with their open money and are certainly more objective than those who wish to point fingers and call them the evil bogey man.

[Guest]

article in the Sun today explaining that more US drilling won't affect gas prices at home. There are numerous other factors at play that determine the price of gas. Basically the article disputes the" drill baby drill" influence" mantra many on this board espouse. Oil is a global commodity and US production has only a tiny influence on supply. Factors far beyond our control have more influence on the price.

[Guest]

Obama is misleading the public about the amount of oil we have in the ground. When he says we have 2% of the oil and use 20%, that right ONLY if you're talking about current resources. We have much much more untapped oil; more oil than Saudi Arabia by some estimates, if we would only extract it.

Obama uses these numbers of the proven reserves as a way to argue it would be futile to drill for more oil in his anti-energy scheme, so as to suggest there could never be enough to meet our needs.

"As much as we're doing to increase oil production," Obama says, "we're not going to be able to just drill our way out of the problem of high gas prices."

"Some of us believe that the president is trying to suggest that we don't have adequate resource here in the United States, which is just not true," says Jack Gerard, president of the American Petroleum Institute, another industry group.

In fact, one industry analyst says by tapping American oil along with Canadian resources and renewable energy, the U.S. could be self sufficient in just 12 years.

It's time to fight the misinformation, and start the drilling.

Energy Industry Accuses Obama Of Misleading Public About Extent Of Untapped Oil Resources | Fox News (http://www.foxnews.com/politics/2012/03/21/energy-industry-accuses-obama-misleading-public-about-extent-untapped-oil/)

[Guest]

Obama is misleading the public about the amount of oil we have in the ground. When he says we have 2% of the oil and use 20%, that right ONLY if you're talking about current resources. We have much much more untapped oil; more oil than Saudi Arabia by some estimates, if we would only extract it.

Obama uses these numbers of the proven reserves as a way to argue it would be futile to drill for more oil in his anti-energy scheme, so as to suggest there could never be enough to meet our needs.

"As much as we're doing to increase oil production," Obama says, "we're not going to be able to just drill our way out of the problem of high gas prices."

"Some of us believe that the president is trying to suggest that we don't have adequate resource here in the United States, which is just not true," says Jack Gerard, president of the American Petroleum Institute, another industry group.

In fact, one industry analyst says by tapping American oil along with Canadian resources and renewable energy, the U.S. could be self sufficient in just 12 years.

It's time to fight the misinformation, and start the drilling.

Energy Industry Accuses Obama Of Misleading Public About Extent Of Untapped Oil Resources | Fox News (http://www.foxnews.com/politics/2012/03/21/energy-industry-accuses-obama-misleading-public-about-extent-untapped-oil/)

What bothers me and has always bothered me about this man is his ability to flat out lie to people, but always leave the way to say BUT...he does it with his followers and his detractors, and the followers will repeat it and repeat it because he says it so pretty until they actually believe it.

This morning in Oklahoma, he said....


"Under my administration, America is producing more oil today than at anytime in the last 8 years."

Now that happens to be true and that is where he stops. Now does that not make you feel as if he is doing a splendid job ?

Well, FACT is despite it being true, the production is up ONLY on state and private land, NONE OF WHICH OVER WHICH HE HAS ANY CONTROL. Oh and by the way, it is DOWN something like 12% on federal land.

Analysis & Projections - U.S. Energy Information Administration (EIA) - U.S. Energy Information Administration (EIA) (http://www.eia.gov/analysis/requests/federallands/)

Fact Check: Oil production under Obama up only on private land | www.krmg.com (http://www.krmg.com/news/news/local/fact-check-oil-production-under-obama-only-private/nLZmf/)

I did not coin the phrase, but do not listen to what he says..watch what he does.

[Guest]

Just paid $4.59 a gallon for reg. in nw suburbs of chicago,I think we are still on winter blend and when they switch will be $5.00 real fast.Got to be bad for Obama don,t think anybody could win with these prices.Glad it my last week here,Will be driving much less when their

[Guest]

the blame can only be placed on the POTUS and most of the dolts in Washington as they over the years have done nothing about our enslavement to foreign oil. And Obama has continued with the legacy...or worse because he has been an impediment to most actions that involve increasing the oil or energy capability of America now or in the future.

btk


and the bush boys kissed up to the foreign oil interests and sold our national security down the river for their own profit.

[Guest]

What bothers me and has always bothered me about this man is his ability to flat out lie to people, but always leave the way to say BUT...he does it with his followers and his detractors, and the followers will repeat it and repeat it because he says it so pretty until they actually believe it.

This morning in Oklahoma, he said....


"Under my administration, America is producing more oil today than at anytime in the last 8 years."

Now that happens to be true and that is where he stops. Now does that not make you feel as if he is doing a splendid job ?

Well, FACT is despite it being true, the production is up ONLY on state and private land, NONE OF WHICH OVER WHICH HE HAS ANY CONTROL. Oh and by the way, it is DOWN something like 12% on federal land.

Analysis & Projections - U.S. Energy Information Administration (EIA) - U.S. Energy Information Administration (EIA) (http://www.eia.gov/analysis/requests/federallands/)

Fact Check: Oil production under Obama up only on private land | www.krmg.com (http://www.krmg.com/news/news/local/fact-check-oil-production-under-obama-only-private/nLZmf/)

I did not coin the phrase, but do not listen to what he says..watch what he does.

I'm sorry but a radio station is NOT a primary source of information especially when it is in a very limited way trying to paraphrase a government report without citing any true specifics. It did not attempt in any way to balance its' reporting. The EIA table itself shows so much variation from year to year there is no true mathematical downward trend shown....overall terribly reckless reporting.

[Guest]

and the bush boys kissed up to the foreign oil interests and sold our national security down the river for their own profit.

I am sure you forgot to add your valid link so we can all share in what you know !!!

[Guest]

I'm sorry but a radio station is NOT a primary source of information especially when it is in a very limited way trying to paraphrase a government report without citing any true specifics. It did not attempt in any way to balance its' reporting. The EIA table itself shows so much variation from year to year there is no true mathematical downward trend shown....overall terribly reckless reporting.

Those doggone government reporting agencies....I will speak to them about how "reckless" they report.

Going to be great when they control your health care, eh ?

[Guest]

am I the only one who wonders why for the last 2 years everytime the price per barrel of oil went up the price of gasoline went up accordingly and the escalating price of oil was tendered each and every time as the reason?

So now that we are trained to accept $3+ per gallon all of a sudden the escalating price per barrel of oil is not the issue!?!?!?!!

And if we had more oil domestically than from foreign producers is not an advantage?

If you buy that then you have been sucked in. There is no way that having increased domestic production is not the long term solution. The problems we are experiencing is the demand on the existing out of oil from those countries that now have it. We have not done anything to negate the speculation on what has become the norm....that being the USA imports more than 70% of the oil it uses.

Drill baby drill is a political red herring. Domestic drilling increased capacity is only one part of a multi facited effort by the USA to become energy independent. The price of gasoline as has always been the case is a function of CURRENT supplies and demand.

Energy independence is the issue at hand and we, CONTINUE, to do nothing about it, hence we are at the mercy of the current supply scenario.

The energy dependendence issue IS NOT BEING ADDRESSED. and like too many of you.... I DO NOT BUT THAT.

BTK

[Guest]

am I the only one who wonders why for the last 2 years everytime the price per barrel of oil went up the price of gasoline went up accordingly and the escalating price of oil was tendered each and every time as the reason?

So now that we are trained to accept $3+ per gallon all of a sudden the escalating price per barrel of oil is not the issue!?!?!?!!

And if we had more oil domestically than from foreign producers is not an advantage?

If you buy that then you have been sucked in. There is no way that having increased domestic production is not the long term solution. The problems we are experiencing is the demand on the existing out of oil from those countries that now have it. We have not done anything to negate the speculation on what has become the norm....that being the USA imports more than 70% of the oil it uses.

Drill baby drill is a political red herring. Domestic drilling increased capacity is only one part of a multi facited effort by the USA to become energy independent. The price of gasoline as has always been the case is a function of CURRENT supplies and demand.

Energy independence is the issue at hand and we, CONTINUE, to do nothing about it, hence we are at the mercy of the current supply scenario.

The energy dependendence issue IS NOT BEING ADDRESSED. and like too many of you.... I DO NOT BUT THAT.

BTK

The Administrations plan for us to pay European gas prices came out. The can't put that back in the bottle no matter what bull they spread.

[Guest]

This from a Dem....



"Rep. Dennis Cardoza, D-Calif., supports building the Keystone XL pipeline, but faulted President Obama for "waffling" on the pipeline and described Obama's trip to Cushing, Okla., as "idiotic."

"They don’t build statues to wafflers," Cardoza said after saying that Obama's trip in support of the southern half of Keystone was just "highlighting a waffle," according to Roll Call. Obama's State Department initially blocked the southern portion of the Keystone XL pipeline -- stretching frm Cushing, Okla., to the Gulf of Mexico -- citing the need for more environmental studies and a new route for the northern portion of the pipeline."

""I think it’s the most idiotic political move I’ve ever seen," Cardoza said, saying that Obama commit to a position and not change, according to Roll Call."



Dem Rep: Obama is a 'waffler' | Campaign 2012 | Washington Examiner (http://campaign2012.washingtonexaminer.com/blogs/beltway-confidential/dem-rep-obama-waffler/443896)