G. L. Turner

High Gold Prices: It's the Oil, Stupid

Re: Natural Gas -

The reason that NG is not being used in the US is because Gov. Sachs has not figured out a way to control the 'global price' of NG - perhaps, its because this is a domestic resource that can't be manipulated through ICE.

Second: Since each beef steer consumes the equivalent of 155 gallons of gasoline in its short lifetime, and the American Public eats a huge amount of meat, to it severe detriment and that of the planet, on average and across the board - at least once every day...about 7 times the average amount around the globe - we if would just cut back our beef consumption by half...we would most probably cut our imports of foreign oil by close to half. This would substantially improve our health, save alot of money domestically (personal budgets/health carecosts) and reduce our foreign outflows by a significant amount as well as make a decent impact on carbon emissions...and most importantly, all this cost us nothing...

Go figure!

World Recovery Is in the Hands of OPEC

The SECOND Best article in a while...both here today....

I have been faxing the Obama Admin and CFTC and key Senators weekly for almost two years now, especially my friend Mike M showed us the reality in the futures markets...

We are in a hell of a bind...here at home with our domestic speculators (GS, JPM, MS) ready and willing undermine our economy and future for thier own gain, and then whole new market giant (Asia) available to OPEC. (See Ron Hera's Article here today...)

We had better wake up and get our act together with reform/regs here and with a cogent, government led commodity trading policy that deals with securing oil (and other resources) for us, pronto...or we will see another speculator come after our economy - that of the Dragon, just as soon as they get the rest of the world to shift off the petrodollar as the reserve...

The future will be interest, with nowhere to hide....

China’s Dragons: Oil, Gold, and the U.S. Dollar

Best damn article I've read in years!

Kudos to You, Ron.
A brillant reading of the road map as the East Rises!

As we look at the events, globally, of 2008, and then recall of how proud those Asian faces looked on TV during the Olympics and see, vai this article, how closer the Chinese are to 'shifting' economic power, it is scary.

More interesting, all this was predicted in the 5K year olkd Mayan Calendar, that said the East would assume dominance, taking it away from North America, between 2008 and 2012.

This article is an indication that the prediction is fast becoming true....

Crude Oil and Gasoline Prices: Like Déjà Vu All Over Again

It is good to see that the majority of posters here have "finally caught on"...save Saildog and yank...

If you listened to CNBC this AM (Oct 12th) you would have seen how they are "back in the game of being GS and JPM's shills" (including Kilduff) again to promote higher OIL, Gasoline, Diesel and Heating Oil prices....I had to call them and complain...YES, the energy markets are now controlled by a few WS firms...it only takes $9B to control the global price of oil in the markets...That is not much money ofr these firms and a few of their hedge fund clients to poney up and move the market...

Also, I thought the GS' Murti rolled out the "promotional" $150 to $200 prediction in early May of 2008, setting up the push towards the $147 high, a high that stop at that point as a result of the sense that teh rally was over since the golden boys had already slipped moved mid-June with the "big short", a month ahead of their 'sheeple clients' realizing that "something had happened" to the dream...but, we had a shadow culprit - "sub-prime" to point to divert attention. Hmmm.

Fisking Scientific American on Peak Oil

jerrydd -

It is absurd to say the the world hit peak oil last year when oil hit $147/barrel. Supply was increasing ahead of demand that had already begun to fall...

Rather, that is exactly what those "financial engineers" on WS and down in Houston wanted you to believe, and you do.

The reason oil dropped so quickly from mid-July to Dec. is that the perpetrators of this myth had decided that it was just too risky to continue to promote their nonsense, given the political heat that was building and the hearings that were underway.

It would be a shame if "their games" really were exposed, for then we might just get some real regulation, then "the game" would not be able to be played again this year, and the next, and the next....

So, they shorted, made huge profits on the down side....and were back at it this year, even as Gensler putzed around threatening regulation changes while he dragged his feet and delayed real action.

We won't see those high prices in the near term due to constraints in supply. Rather, we will see them again soon only because of no changes in margin requirements and little to NO transparency in the futures markets..
That's a lot of specualtive profit to see slip away...so

Does Crude's Price Reflect Reality?

To Mr. Clark - the answer is simple - Govmad Sachs wants it to rise in price, keeps thier traders business hustling sheeple into their CIF. It's 'Good for Business'...as in their business. They have learned to play the crude and RBOB futures like a violin, moving up and down the pricing range based on their 'news leaks' and "analysis reports"...

To Mr. Big - In studying the movement of OIL and RBOB daily for the last two years...the value of the dollar relative to Oil Prices is very overrated. This, too, was a "handy urban myth" that was used to divert the 'real gaming' going on last year and again this year...

Last June (2008) the value of the dollar was, according to the IMF testimony in Congress, accountable for about $10 premium, max, on the price of crude - that takes it from $80 to $9- at the most...not teh $147 it was heading too...

Today, Oil should be $58 - $61 and RBOB, which is not really an international commodity, $1.55-60 max. Yet, you'd think that the dollar effected this price by $.50.

The ABCs of Oil Manipulation

OK - This is great info, Chris. Thanks!!

And, you have 'been in the trenches' and know of that which you speak...this is exactly what I was telling the Dem Congress last year, try telling the Reps, but hey, you know who they march to...

Now, can we get this info through to Obama and Gensler??

Can we get the greed meister's out of teh markets and government too and get back to having markets and an economy that works for all of us?

Oil Price Outlook: Steady as She Goes

Hope you will be correct, as $60 to $65 is what teh CEos of US Big Oil say they need to make it work -

However, to that the Financial Speculators will add the 'value of the dollar'....greatly exaggerated of course, and - "and I disbelieve that commodity speculation is a sticky factor, so my oil forecast for 2010 is based solely on fundamentals." - (your statement) will not hold up, cause Government Sachs will se to ti taht we have "COMMODITY SPECULATION" divorced from real supply/demand fundamentals...

So, don't get too happy too soon!

Noticed the Oil Backup?

Tobi, You are right on point!

Time to Short Oil?

as 'untrusting' says: "But as has been pointed out by numerous authors .... when you have Goldman Sachs and 2% of the traders (High Frequency Traders, quants, algos) trading between 50-70% of the entire daily volume on the market, you get that disconnect."

Yep, ole Gov Sachs has become quite adept at leader alot of sheeple into these rallies, most of them their clients, and then taking a short position for their "in-house" positions...raking it ina fter getting the fees for placing thier clients in the mix...

Oh well, another day at teh office for the Greed Meisters, as the rest of the world burns.

My next question is this - Does Exxon and Conoco call up ole Lloyd and ask if they can up their refining capacity or should they lower it and for how long? The RBOB up and down, in the face of fundamentals that suggest it should be around $1.55, is quite a hoax at best. Some sheeple are going to get creamed better on these rallies....again!

What Are Diesel Inventories Telling Us?

NO PROBELM MAN, Supply and Demand are things of the past...

Government Sachs and JPM have learned how to create their own oil/RBOB pricing rallies, gathering sheeple into their game, completely devoid to any relationship to the fundamentals.

How do you think they made so much profit in 2Q....the price of oil and RBOB did not rise in a void, my freinds, nor did it rise because demand had picked up...except in 'your mind', if you bought into theri scam....

Remember $20 Oil? Looks Like It's Coming Back

Verleger is "HOT AIR"!!!

Last year, his personal 'testimony' via a report for ole' Oil/banker Senator himself, Pete Dominci, to be read to counter Mike Master's accurate contention that financial, long investor 'speculators' were causing severe price mis-allocations in the futures market, said that - "$147 Oil was strictly supply and demand related..."

course if this had been the case, oil would NOT have turned on a dime so quickly crashed so fast last July like it did!

The only thing that could have done that was when the supreme greed meister, GOVERNMENT SACHS, had gottne everyone in the game and knew it was time to 'get out first' and decided to pull the plug by being the first "to short' in mid-June!!

OIL will run between $55 to $68 for the balance of 2009...providing that Gov Sachs doesn't buy up the new CFTC' this fall...

Link Between Large Oil Price Changes and GDP: It's Not What You Think

In the initial rise in oil prices, in normal times - meaning that the GS CIF and other manipulation is not the main driver - the price of oil is reflecting the expansion of the economy, as it should. However, as one commentor suggested, and as I think too, a more appropriate look-see would be to examine the next 2/3 Qs that followed, and see what actually happens. Also, maybe 20% is the pinnacle as to where oil can rise in a 'growth tandem' with the economy, oil prices helping to support GDP - "to a point!"

My question then, what is the effect on GDP when oil continues to rise above the inflection point of 20%.

In my business, I see a rather large knee-jerk reaction to a 50 cent rise in gasoline prices, and have rolled up and down since mid-2005, following Bush's OIL COMPANY mergers, that have pushed us to a doulbling to tripling price tier ever since the mergers. Many business start to feel such pinches, gradually...however, 50 cents in gas does not necessarily translate, or stem from a 20% rise in oil....

Crude Oil Could Bounce, But ...

The Saudis warned in January '08 - going back to the early 1900's, every Major Spike in Crude has resulted in a 'Global Recession'.

Obviously, the spike of last year, completely contrived - at least any pricing above $75 - was the most extreme spike we have seen, causing major dislocations of wealth from the consuming nations to the OPEC/crude producing countries. Therefore, should we not expect to see the worst recession, maybe depression to date?

The sad part, is that the favoratism and loopholes in regs, that were so obvious spring of 08, were not "CLOSED" up prior to this spring, thus allowing the same little band of Greed Meisters - namely Government Sachs and brothers, plus the US 3 Big OIL cousins, to jump into what was the beginnings of a recovery in early April, taking the creme right off the top, thus sending us backwards before we got some traction...

Yep, it will be a long, hard comeback, especially now. Oil, and that dirty little WS group will now have to ride out the lumps and bumps with the rest of us...

Before Regulating Oil, Remember the '70s

KELTORTTRUTH - Come on! Pirrong is a Shill for Big Oil and GOV SACHS - his testimony and his article are gaggin at best...don't fall for his 'scientific sounding bs'...he ws 'trotted' out to the hearings by the Reps adn Big oil last year, and he put out the article this spring by the same group. If his stuff was so valid, he would have participated with discussions during the year. Instead, he only 'shows up" when BIG OIL or Gov Sachs feel that they are not going to be able to manipulate 'their free-for-all futures markets' to their liking!