What really triggered oil's greatest rout.

[Mr. H.]

I was going to post this in one of the numerous threads on oil pricing, but it's just too good to be buried among the inane ramblings...

Special report: What really triggered oil's greatest rout - Yahoo! News

The Soros name is used frequently.

Random clips:

Never before had crude oil plummeted so deeply during the course of a day.

In interviews with more than two dozen fund managers, bankers and traders, no clear cause emerged for the plunge in price. Market players were unable to identify any single bank or fund orchestrating a massive sale to liquidate positions, not even an errant trade that triggered panic selling, as seen in the equities flash crash last May.

On Wednesday, the Wall Street Journal had reported the Soros Fund was selling commodities including silver, and four sources from other hedge funds told Reuters they believed Soros was busy selling commodities positions again on Thursday.


Investors have been using the super-cheap money to buy into commodity markets.

 

[Care4all]

I really don't understand this stuff mr H.

I don't understand how oil prices can rise so much in a week or drop so much in a week....I am a capitalist, and understand prices going up and down based on actual supply vs demand, but the oil market just does not seem to follow the basics of capitalism, thus I am continually clueless....

 

[Mr. H.]

Well the entire article does go a long way toward explaining the mechanics and other variables that contribute to price swings. Yeah in a perfect world, it would come down to actual supply and demand but that just isn't the case anymore- not for oil or any other commodity for that matter.

 

[JiggsCasey]

it's pretty simple, really:

short spikes and dips = mankind's meddling

longterm trends = mother nature

There's a reason oil price is up 600% in 12 years. And it has nothing to do with speculators. What oil does in one day? Inconsequential.

Think.

 

[RGR]

it's pretty simple, really:
There's a reason oil price is up 600% in 12 years. And it has nothing to do with speculators. What oil does in one day? Inconsequential.

Think.

WE do.

The real price of oil, today, is less than it was in 1864. There is a reason why the price of oil has declined 20% over 146 years. What oil does over the past 12 years? Inconsequential.

Pick up a book and try and learn something useful Jiggsy, break free from the bonds of your intellectual straitjacket, throw off your chains! THINK.

 

[Toro]

I was going to post this in one of the numerous threads on oil pricing, but it's just too good to be buried among the inane ramblings...

Special report: What really triggered oil's greatest rout - Yahoo! News

The Soros name is used frequently.

Random clips:

Never before had crude oil plummeted so deeply during the course of a day.

In interviews with more than two dozen fund managers, bankers and traders, no clear cause emerged for the plunge in price. Market players were unable to identify any single bank or fund orchestrating a massive sale to liquidate positions, not even an errant trade that triggered panic selling, as seen in the equities flash crash last May.

On Wednesday, the Wall Street Journal had reported the Soros Fund was selling commodities including silver, and four sources from other hedge funds told Reuters they believed Soros was busy selling commodities positions again on Thursday.


Investors have been using the super-cheap money to buy into commodity markets.

It's what happens when manic behavior breaks.

 

[edthecynic]

I was going to post this in one of the numerous threads on oil pricing, but it's just too good to be buried among the inane ramblings...

Special report: What really triggered oil's greatest rout - Yahoo! News

The Soros name is used frequently.

Random clips:

Never before had crude oil plummeted so deeply during the course of a day.

In interviews with more than two dozen fund managers, bankers and traders, no clear cause emerged for the plunge in price. Market players were unable to identify any single bank or fund orchestrating a massive sale to liquidate positions, not even an errant trade that triggered panic selling, as seen in the equities flash crash last May.

On Wednesday, the Wall Street Journal had reported the Soros Fund was selling commodities including silver, and four sources from other hedge funds told Reuters they believed Soros was busy selling commodities positions again on Thursday.


Investors have been using the super-cheap money to buy into commodity markets.

SOROS DERANGEMENT SYNDROME!

hehehehehe

 

[edthecynic]

I really don't understand this stuff mr H.

I don't understand how oil prices can rise so much in a week or drop so much in a week....I am a capitalist, and understand prices going up and down based on actual supply vs demand, but the oil market just does not seem to follow the basics of capitalism, thus I am continually clueless....

Crude oil dropped sharply last week, but a gallon of gas went up 8.4 cents. Obviously the price does not follow supply and demand or any other market factor because the price is manipulated by a monopoly. Only a monopoly can defy market forces.

 

[Toro]

I really don't understand this stuff mr H.

I don't understand how oil prices can rise so much in a week or drop so much in a week....I am a capitalist, and understand prices going up and down based on actual supply vs demand, but the oil market just does not seem to follow the basics of capitalism, thus I am continually clueless....

Crude oil dropped sharply last week, but a gallon of gas went up 8.4 cents. Obviously the price does not follow supply and demand or any other market factor because the price is manipulated by a monopoly. Only a monopoly can defy market forces.

There's a delay between the spot price of crude and the price at the pump. Futures on gasoline prices dropped limit down twice in the last few weeks by 25 cents a day. Gas prices should follow soon.

 

[Dont Taz Me Bro]

People also need to keep in mind that you have two emerging nations, China and India, both with enormous populations, who are vastly increasing the world wide demand for oil, with the same amount of supply available. That is a big factor in the prices rising over the years.

 

[Mr. H.]

I really don't understand this stuff mr H.

I don't understand how oil prices can rise so much in a week or drop so much in a week....I am a capitalist, and understand prices going up and down based on actual supply vs demand, but the oil market just does not seem to follow the basics of capitalism, thus I am continually clueless....

Crude oil dropped sharply last week, but a gallon of gas went up 8.4 cents. Obviously the price does not follow supply and demand or any other market factor because the price is manipulated by a monopoly. Only a monopoly can defy market forces.

The same monopoly that drove gasoline to $1/gallon in 1999?

The Soros role was as a commodity trader. Maybe the lemmings were in hot pursuit?

The gist of this thread is, it's hard to point fingers when you got your thumb up your ass.