More interesting reporting, this time from McClatchy, that once again flies in the face of the supply-and-demand argument for spiraling oil prices.
It’s becoming increasingly clear, I think, that supply-and-demand may well be a canard of cover for the hedge funds and brokerage houses who are adroitly playing the rule-less markets.
Sen. Cantwell’s efforts are noble, albeit painfully slow. With oil prices poised to be a major incumbent negative in the coming November elections, it’ll be interesting to see if Congress answers the public call and tightens up regulations on speculators.
5 Comments
I think you’re right, Bill. The supply-and-demand argument is a farce. My wife and I have been carpooling for some time now, leaving one of our two cars parked in the garage everyday. All of my friends and co-workers are taking steps to conserve fuel. Simple question no one can answer: If the high prices really are tied to rising demand yet everyone in my world, and most likely yours, has reduced their demand in some way, then why haven’t prices fallen? Further, why hasn’t the press, local or national, been more aggressive in taking the oil industry and other players involved to task on the subject? … What happened to journalists’ mantra to “comfort the afflicted and afflict the comfortable?”
It’s a legitimate question, perhaps a topic for a later blog. As someone who’s been in journalism for a quarter-century – boy, am I old – the performance of the national media, both print and electronic, in the past several years is as disappointing to me as anything I’ve observed in the business.
Chuckle. For those of you who’ve been concerned about censorship on this blog, I can tell you that my response to mcs’ post just got zapped by the spam filter.
Suppose there’s any hidden meaning in being zapped from your own thread?
Anyway, back to MCS’ point about journalism: It’s a great one, I’m sorry to say.
I’ve been doing this for 26 years – boy, am I old – and I’ve found nothing in the industry as disappointing as the national media’s, print and electronic included, failure to be anything more than cheerleaders over the past several years.
Thanks for mentioning the spam filter. It does seem that speculation is playing a major part. But isn’t this something like Enron and the stockmarket?
Well, since Enron officials apparently were involved in the creation of the loophole that’s allowing unregulated speculation, the irony of your question doesn’t escape me, Lonny.