Comments on: The Peak Oil Conundrum

By: Ed

Ed — Wed, 26 Jul 2006 22:15:33 +0000

I like Tom’s idea! I would sure be able to produce a lot of energy.

I think the speculation is a healthy part of the market to some extent. Plus there’s no better way to control demand than through the allmighty dollar! ED

By: Tom

Tom — Wed, 26 Jul 2006 00:43:54 +0000

Great write up. My money is on oil for the long term, unless we somehow create fusion power everytime we drink beer. mmm beer.

By: Grant

Grant — Tue, 25 Jul 2006 15:33:09 +0000

That’s true, the pit plays a large role and it’s obvious the market is trying to eek out every penny from oil. Let’s face it, if the market is willing to pay $80/bbl for oil, why not let ‘em buy it?

What many people don’t realize is that the futures market is a zero-sum game. With every trade, somebody wins and somebody loses, quite contrary to the general stock market.

SO, if a bank buys oil at $75/bbl, they’re buying it from someone else that thinks oil is going lower; notwithstanding the short side.

Ah, the beauty of the free market!

Thanks for your opinion!

By: Winston

Winston — Tue, 25 Jul 2006 15:22:25 +0000

Nice article. Here’s my opinion: The price of oil is being controlled by the futures traders at the NYMEX pit and math savants sitting behind a computer serving the major banks. The exchanges have risen margin requirements but the speculators still control crude. Supply and demand models aside, the terrorist premium will have to subside before the price/gallon comes down to more realistic levels. So, Israel, Lebanon, Iran, Iraq….figure it out!!!!