NAncy pelosi thinks rising gasoline price is due to speculators

Strangely, the current run-up in prices comes despite sinking demand in the U.S. “Petrol demand is as low as it’s been since April 1997,” says Tom Kloza, chief oil analyst for the Oil Price Information Service. “People are properly puzzled by the fact that we’re using less gas than we have in years, yet we’re paying more.” Kloza believes much of the increase is due to speculative money that’s flowed into gasoline futures contracts since the beginning of the year, mostly from hedge funds and large money managers. “We’ve seen about $11 billion of speculative money come in on the long side of gas futures,” he says. “Each of the last three weeks we’ve seen a record net long position being taken.”

http://www.ritholtz.com/blog/

 

Well how about some reality.....FT

http://money.cnn.com/2011/12/05/news/economy/gasoline_export/index.htm

 

Every time I see scumosi on tv, I want to pull an Elvis, and shoot the damn screen out! And yes, I'd pay $10/gallon if we could rid this Country of the biggest communists to ever hold office here.

 

So our politicians...

1) Print money like crazy

2) Play policeman all over the Middle East. This includes a financial blockade against Iran, which limits their oil sales

3) Refuse to increase drilling; build new, much more efficient refineries or promote non-petrol sources with real potential like thorium-based nuclear power.. Instead, we focus on worthless "green energy" (thank you, Solyndra).

When traders recognize this and try to profit from it (or at least hedge their personal savings), they're "speculators" and it's all their fault that oil's price is skyrocketing.

A 3rd grader should see how moronic this reasoning is...much less someone on a website dedicated to trading.

 

And you don't think that crowd speculation on group interpretation of "fundamentals" ever results in price overreach? Please tell me more about your planet.

 

Pelosi and all democrats are so damn embarrassing to the USA. These trolls have absolutely destroyed this Country for votes...and they will do anything, say anything to do it.

Its so sad that the dems have to rely on class warfare, circle jerk with the unions, racism, guberment handouts, going after the illegal vote with NO reform to the illegal problems, and blame the speculators to stay in power.

The dems rely on the dumbest of the dumb for votes...how f*cking pathetic is that.

 

speaking of the"dumbest of the dumb". when the country almost blew up in 2008 who was leading it?

 

Many of the problems leading up to 2008 had been going on for decades. The idea that everything can be blamed on the current administration (or the prior administration if your last name is "Obama") is incredibly short-sighted.

However, since you asked, on January 3, 2007, the Dems took over the House of Representatives and the Senate. It was the first time they controlled a majority in both places since 1995. While they weren't in control, the Dow more than tripled. Yes, gridlock rocks. Also, at the time they took over, the most recent GDP reading was 3.5% and the Unemployment Rate was 4.6%.

 

Well, this has been going on since Woodrow Wilson and then FDR. It's taken a long time to get so many people on the guberment dole, 51% now don't pay fed taxes, and the liberalization of the young through the media and Universities to get where they are today. Throw in the OWS of "European welfare state give me now!" attitude (which all the dems embrace)...I would say mission accomplished.

Now that they have gotten the "dumbest of the dumb" to vote like zombies, they are shoving Unconstitutional health care and many more things to come down our throats.

Go read a thread I stated yesterday about the coming 45% dividend tax rate, add that to Corporate taxes (paid first), and the guberment takes 64%+ of private sector earnings!! This is just the beginning of the democrat power grab.

Yes, while the dems controlled all three houses they still couldn't pass a f*cking budget! They were spending too much time with class warfare, racism and all the democratic bag of tricks (or sh*t I man say) they have been using for decades to get votes.

The sad thing, and I honestly believe this because I know a lot of good people who vote democrat, is that 90% of dem voters have no clue to what is really going on behind the curtain. And, the dem leaders want to keep their voters down so they can sell them the same damn lies year after year for votes. The DO NOT want their base to be successful, because if they did and saw their tax bills sky rocket while everyone else is on the dole or take (unions), they would be no more!

 

Though I am not a Pelosi fan, she is correct. But it's the Fed and now other central banks' actions that are exacerbating the issue.

You have to realize that the Fed made money very cheap and available intending to save the banks, promote inflation and restore expansion of credit (to name a few). The consequence is yield chasing and further involvement in risk and risk assets when overextension of risk was what got us into this mess in the first place.

From a Wall St perspective, money is the cheapest it's been in virtually forever and coupled with programs like POMO, QE 1 & 2, Operation Twist, etc. banks are encouraged to take proceeds from UST sales and prop up equities, commodities, futures, etc. So when wonder why commodity prices are moving up in spite of fundamentals that scream glut, oversupply, decreased demand, etc you are right and that's the reason.

From a Main Street perspective, the rise in commodity prices hits the bottom line as the unemployed are not fully recovering nor are wages increasing. Add to it that savers get no interest in savings accounts and the elderly living off fixed income investments with rates at all time lows are left with almost no other option than to yield chase. The alternative is to collect no interest while other risk takers seemingly win. This is a real conundrum as the Fed will bail out banks when the music stops, but not so for Main Street folks.