AH, well I never really bought into that. I imagine it had some effect at times, but that would be hard to pin down.I realize high demand and low supply led to the high prices, I'm challenging those who blamed manipulators
When the price was high it was blamed on the speculators and the rich guys rigging the markets. Well... If that were true...
why haven't they locked in their purchases at nice low levels and jacked the price back up to $100?
Along these lines , currency wars and trade wars give us world warsThe Saudi's letting oil flow freely (despite it being in their best interests), to stick it to Russia, is a perfect example of this. And now Iran is in the game too, possibly add one MILLION barrels a day? C'mon guys.
....... But just about the time that Joe and Jane American decide that gasoline is cheap enough that they'll go back to the urban assault vehicles with the 40 gallon tank and 12mpg because once or twice a year they might actually take that behemoth off pavement and onto a well graded gravel road, the pendulum will swing the other way and all those factors above will combine to screw us little people again.
Of course there's price manipulation. It's right out in the open and it based on supply and demand.
OPEC produces less, price climbs. OPEC produces more, price drops. Develop domestic oil? The supply is greater (price starts to drop) and then OPEC produces more to make North American oil comparatively more expensive (price drops more). Market starts liking electric cars, and you drop the price of oil to make gasoline either cheaper than electricity or, as always, more convenient for the cars the average guy drives.
Average guy drives a bunch of trucks and SUVs that get bad mileage, demand grows and so do prices.
No secrets and plenty of price manipulation.
You don't think the market is being manipulated now? There are winners for low prices, too. Particularly producers who can ride it out while competitors shut down, have their currencies crash, etc.
It would be interesting to see how much automated buy/sell orders have played in as well. Remember the biggest buyers of oil are companies without the ability to accept the orders...they are just middle men.
Of course there's price manipulation. It's right out in the open and it based on supply and demand.
OPEC produces less, price climbs. OPEC produces more, price drops. Develop domestic oil? The supply is greater (price starts to drop) and then OPEC produces more to make North American oil comparatively more expensive (price drops more). Market starts liking electric cars, and you drop the price of oil to make gasoline either cheaper than electricity or, as always, more convenient for the cars the average guy drives.
Average guy drives a bunch of trucks and SUVs that get bad mileage, demand grows and so do prices.
No secrets and plenty of price manipulation.