According to this news article the world oil suppliers are keeping oil off of the market by putting it into storage. They are even parking super oil tankers around the world in order to keep this oil off the market.
The World is Awash in Oil
Recently the price of oil has been as low as $35 and is now around $47. Is this going to be a mini-oil bubble that is being created that will burst as soon as these companies decide to sell all this oil. Isn't this price fixing?
All I know is that if these idiots are able to create a new bubble in commodities, oil, gas, and industrial metals like copper etc you can kiss any economic recovery goodbye. It looks like these a$$holes are lining up to line their pockets with infrastructure stimulus money. They are going to drive short term commodity prices higher in order to drive the contracting prices that the govt is going to have to pay on infrastructure projects. This will do nothing by slow the economy even further and help to drive inflation which is already a real danger given all the money the Federal Reserve is printing.
Wall Street has learned nothing from the economic collapse and seems intent on destroying the country.
PS: I think that these companies should not be permitted to do this as there are real security concerns with storing oil in super tankers. You would think that parking super oil tankers full of oil, some hold 2 million barrels, would pose a real security threat given that these super tankers would be targets for terrorism. IMO
The World is Awash in Oil
Recently the price of oil has been as low as $35 and is now around $47. Is this going to be a mini-oil bubble that is being created that will burst as soon as these companies decide to sell all this oil. Isn't this price fixing?
All I know is that if these idiots are able to create a new bubble in commodities, oil, gas, and industrial metals like copper etc you can kiss any economic recovery goodbye. It looks like these a$$holes are lining up to line their pockets with infrastructure stimulus money. They are going to drive short term commodity prices higher in order to drive the contracting prices that the govt is going to have to pay on infrastructure projects. This will do nothing by slow the economy even further and help to drive inflation which is already a real danger given all the money the Federal Reserve is printing.
Wall Street has learned nothing from the economic collapse and seems intent on destroying the country.
PS: I think that these companies should not be permitted to do this as there are real security concerns with storing oil in super tankers. You would think that parking super oil tankers full of oil, some hold 2 million barrels, would pose a real security threat given that these super tankers would be targets for terrorism. IMO
Last edited by Diesel_dyk (2009-03-09 21:43:16)
