dw57

Oil Price Economics the 60 Minutes Way

there wasn't a supply demand issue. the difference is demand from supply has been about the same amount for years. the supply numbers and demand number have been really close but it wasn't last year. a lot of the oil contracts that were bought ended up in losses. all of last year there was oil put into reserve, as was gasoline. and the oil refiners weren't running at the normal rate because the lost money on gasoline. and we still put more of the stuff into reserve. and oil was stored in tankers as it had no place to go and couldn't find places to be stored. and if it was supply issue short of an attack on a major oil field (like in Saudia Arabia) that was successful how does any body explain a $20 surge in oil prices? That happened this summer. and the markets in question all have testified they are dark. I.E. about as transparent as a steel drum. intentionally. so that nobody can know who is fiddling with the price of oil. thats the life blood of many companies. and countries.