Lower oil prices may prevent Congress from passing offshore drilling bill? Recovering financials may prevent Congress from passing Freddie/Fannie bailout laws?
When SPX tanks on Monday and the price of light sweet crude rises, again, perhaps our Congress critters will reevaluate. Though I wouldn't rule out Congress being a step ahead of Bush's politicking the issue of needed production. Signs of the bubble began, aside from a smart money hedge in a time of war, when petroleum companies priced in the added cost of doing business with refineries who refuse to reenforce or revamp deteriorating and dated production infrastructures. Probe and drill, fine; but until Congress crafts legislation to curtail price gouging stemming from waste in the streamline, we'll only pay more at the pump. Drilling isn't a quick fix anyway; we may as well get it right.
For the sake of this country, I hope they decide not to pass the FRE, FNM bailout, and the additional powers to the fed and treasury. The free markets may work it out ahead of time, hopefully.
The oil prices seem to be a result of a combination of problems including inflation, speculation in oil futures and Opec oil quotas. The Opec oil quotas are definitely an excaberation of the other 2 because Opec is not following free market principles artificially driving the price through what is basically hording in the guise of environmentalism. These "quotas" are partially to blame for the inflation in the energy and food markets and oil future speculations (through restricted supply) causing a cycle which will only worsen without a free market approach. It is time for major oil importing countries to create O.P.I.C (Organization of the Petroleum Importing Countries) to find a more economically sustainable compromise on the current situation with Opec.
we should do as other country's and have one price for us and a much larger price for them,if they want to hoard oil and make us pay triple,then we will hoard food and make them pay 4 times as much,let em eat sand,see how soon that oil price comes down,oh wait that would hurt xom and bp,well better 5 or 6 us companies than the whole fucking population,that's the logic he's using on the military who are by the way protecting the oil companies,we really need to revolt and get that prick out of there,i just can't wait to see the shit he's cooking up for his last 6 months of screwing us
Lets just hope and pray it is not an attack on Iran or the Great Depression will be like a wonderful dream compared to what would happen.
There're only a few reasons why that likely won't happen. 1) http://www.iht.com/articles/ap/2007/08/17/europe/EU-GEN-Russia-China-Maneuvers.php 2) Any preemptive U.S. air assualt and Iran will dominate militarily oil shipping routes in the Indian Ocean and Persian Gulf. http://www.metimes.com/Business/2008/05/12/iran_offers_ocean_to_oil_giant_kazakhstan/6011/ While this will temporarily inflate GWB's father's oil empire, and further destabilize the Middle East to Israel's cue to exercise force, the United Arab Emirates will have no choice in cooperating and doing business with Iran, thus severing ties with the U.S. and Israel. Providing there won't be nuclear fallout on American soil from Russia's and China's dependence on Iranian crude imports, you'll have a centralized power vacuum that inevitably will, after high counts in dead bodies and geiger readings, stabilize from uniltateral talks -- and America will be wiped off the face of the planet. While GWB has likely sat on the pot seriously considering preempting Iran to inflate his father's, and thus his, oil empire, that shifty-eyed coward won't march risking his death to clench the deal, like he's led our own and countless hundreds of thousands of Middle Easterners.
So a single -at most- Iranian nuclear weapon would wipe off America? Aaahh these "middle easteners" are so funny, when they are not stoning their stock exchanges...
your articles would imply that there is a strategic advantage to russia to keep these oil prices so high and a strategic advantage for th U S to lower those prices,that is the war the US is losing at the moment,from a trading standpoint,the russkies need to grab as much for that oil as they can at the moment if they are unable to push it back up,the aug 104/100 put sprd in uso is trading at $ 2,at the moment it is out of the money,my bet would be lower for the next few days,still looking for $100 to $115 as a base,but shorter term 115-120