Sophisse

The Oil Shortage, and Other Fairy Tales

A lot of people disagree about this I guess. I don't doubt that there are speculators in the market. But are they really speculating on oil? No - oil futures and companies. There's a big difference. The hunt brothers bought up all the silver - that's the actual silver - and put it in a warehouse. Who is buying up the actual oil? Who is manipulating the actual spot price of real oil today in Cushing? If that's a free and liquid market, which I believe it is (does anyone disagree?) then who's manipulating that?

Because if real spot oil prices today are the true unmanipulated price, then futures prices all make sense. Doesn't mean they are right in their bets, perhaps those futures will lose money - but they aren't ridiculous.

I know I sound like I'm on one side, but I'd love for someone to show me how the actual spot price today is manipulated.