"free market" republicans manipulate oil prices before elections

[welshTerrier2]

the article below speculates that gas prices could rapidly be on their way down to a meager $1.15 a gallon ... but don't worry, no manipulation here ... after years of all time record profits in the oil industry, the consumer is finally going to be rewarded with ultra-low prices ...

why is this happening? well, if you believe the article below, and i do NOT, it's all about commodity speculation ... commodity prices for oil rise and fall based on speculations about how stable the oil markets will be ... we were told that the instability in the Middle East caused prices to skyrocket over the past four years or so ...

well, apparently those nutty oil speculators have concluded that everything is just fine and dandy now ... nothing to worry about anymore ... Iraq? no problem man ... Iran? chill dude ... Israel - Lebanon? that old thing? and Venezuela or Nigeria or even Saudi Arabia? totally cool ... nothing to worry about ...

but what about India and China and all that desperation stuff about why we need offshore drilling and drilling in the Gulf and ANWR ... and, oh yeah, what about how we needed to roll back all those environmental regulations so that we could refine more oil? what about that, huh?

no problem man ... all of a sudden, we have plenty of oil ... don't worry your little head about it ... everything will be fine now ...

and gee, just in time for the midterm elections ... it has to be a coincidence, doesn't it???

i mean, no one can actually manipulate the price of oil and gas for political gain, can they? besides, the republicans would never do such a thing ... i mean, they believe in the "free market", right?

here's a hint: Democrats should immediately call for investigations of this ... the oil markets are being manipulated for political purposes ... wake up folks; this is no coincidence ...

source: http://www.realcities.com/mld/krwashington/news/nation/15511751.htm

The recent sharp drop in the global price of crude oil could mark the start of a massive sell-off that returns gasoline prices to lows not seen since the late 1990s - perhaps as low as $1.15 a gallon.

"All the hurricane flags are flying" in oil markets, said Philip K. Verleger, a noted energy consultant who was a lone voice several years ago in warning that oil prices would soar. Now, he tells McClatchy Newspapers, they appear to be poised for a dramatic plunge. <skip>

Here's why.

For most of the past two years, oil prices have risen because the world's oil producers have struggled to keep pace with growing demand, particularly from China and India. Spare oil production capacity grew so tight that market players feared that any disruption to oil production could create shortages.

Fear of disruption focused on fighting in Nigeria, escalating tensions over Iran's nuclear program, violence between Israel and Lebanon that might spread to oil-producing neighbors, and the prospect that hurricanes might topple oil facilities in the Gulf of Mexico. <skip>

But many of the conditions that drove investors to bid up oil prices are ebbing. Tensions over Israel, Lebanon and Nigeria are easing. The hurricane season has presented no threat so far to the Gulf of Mexico. The U.S. peak summer driving season is over, so gasoline demand is falling.

With fear of supply disruptions ebbing, oil prices began sliding. With oil inventories high, refiners that turn oil into gasoline are expected to cut production. As refiners cut production, oil companies increasingly risk getting stuck with excess oil supplies. There's already anecdotal evidence of oil companies chartering tankers to store excess oil.

All this is turning financial markets increasingly bearish on oil. <skip>

[The Backlash Cometh]

1. I thought it was just an election year gimmick.

[mediaman007]

2. No kidding...

I guess Bush* was able to "talk tough" to his oil buddies and its finally paid off after 5+ years in office. This must be reflected in his latest poll numbers.