Businessweek: High Oil Prices; It's All Speculation

Quote from OddTrader:

I tend to accept this view!
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My guess is the aggregate of the incremental increases of consumption caused by China and India (are they all can afford relatively high petrol prices?) would be far less than the aggregate of the incremental reductions of consumption caused by all other countries worldwide, during these few years of time period.

Just a very primitive guess of mine!
 
We're being screwed by the banks and hedge funds. And judging from the white house's response, there must be some of their friends who will benefit greatly by crushing the economy.
 
Quote from OddTrader:

My guess is the aggregate of the incremental increases of consumption caused by China and India (are they all can afford relatively high petrol prices?) would be far less than the aggregate of the incremental reductions of consumption caused by all other countries worldwide, during these few years of time period.

Just a very primitive guess of mine!
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definitely could be true. but not so far. Global consumption still growing at 1.1 million bpd, even with US consumption down (source: bp.com).

i see china imploding soon however. not for this thread though. My personal guess. India will be fine (domestic consumption + education).
 
The question is whether a net decrease of consumption/ demand would increase price (to justify keeping lesser production) , or a net increase of consumption/ demand would increase price!
 
So, all we need to do is eliminate the speculators and oil will come down? Fat chance.

Do you guys really think this is all due to speculation? China is adding 25,000 new cars on the road every day. You have 400 million peasants moving from farms to cities over the next 10 years. Thats just China. If oil was up mainly due to speculators, it wouldn't take much to crash the markets.
 
Quote from Arnie:

So, all we need to do is eliminate the speculators and oil will come down? Fat chance.

Do you guys really think this is all due to speculation? China is adding 25,000 new cars on the road every day. You have 400 million peasants moving from farms to cities over the next 10 years. Thats just China. If oil was up mainly due to speculators, it wouldn't take much to crash the markets.
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Its speculation and greed....thats it. Supply and demand theory is thrown out the window when it comes to speculation and greed. Greed is very powerful and you have seen what it can do to in the last decade with the dot com cylce and housing boom, next up oil.
 
Quote from Arnie:

China is adding 25,000 new cars on the road every day. You have 400 million peasants moving from farms to cities over the next 10 years. Thats just China.
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Source please. Can you provide a link to this?
 
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