Pilm

More Government Market Manipulation on Its Way?

Doesn't take a rocket scientist to realize that the price of oil doubling from a low of $30 in March 09 to $70 in June 09 has nothing at all to do with real time supply and demand. Supply and demand do not vary more than 5% in a 1 year time frame, but oil prices do because it's a speculative investment, just like the stock market. If the price of oil were actually linked to real time supply and demand trends, you'd see the price of oil become almost rock solid over the short term. But we don't live in such a fantasy land do we!

Is It Possible the Current Recession Was Caused by Oil Prices, Not Housing?

Falling home prices only <5% of Americans while rising oil prices affect 100% of Americans. In fact, rising oil prices have a double or triple impact since they not only increase our auto gas bill directly, they also increase our home energy bill, our grocery bill, and everything else you buy that requires transportation!

Wachovia's Rally & Oil's Decline: Rotation from Energy to Financials?

why financials? why not! they've been beaten to death, and would be an easy market to create a short term bubble on. once oil money begins to pour in and prices rise, everyone will jump in (panic buy) and prices will bubble. then in 6 month to a year they'll exit to create another bubble somewhere else. financial bubbles are a part of investment life now, there are just way too many $$$ out there to avoid it.