Speculation and buying futures of oil. You think people would have learned from Enron that you shouldn't make bets on something that is so unpredictable. Also, supply and demand need to meet eventually - massive shifts upward in price without a match in upward demand or massive drop in supply doesn't make sense and the markets balance out. Not that futures should necessarily be stopped - but not too long after there are tons of reserves available, the market should be allowed to adjust so as not to cause the huge shock and drop in gas prices over just a few months - from over $4/gallon, down to $1.25/gallon. Now that prices are low again, should consumers be required to endure the shock based on speculation? Transparency in the market is essential.
Crazy person buys first barrel of oil at $100/barrel
No comments:
Post a Comment