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Old 05-29-2008, 03:04 PM  
Snake Doctor
I'm Lenny2 Bitch
 
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Join Date: Mar 2001
Location: On top of my soapbox
Posts: 13,449
The big problem really is speculation.

You can buy oil just like you buy gold or stocks, so speculators who think the price will keep going up buy it, and that keeps the price moving up.
It's not supply and demand because there is actually more supply in the market right now than is needed.

If we only allowed people to buy commodities (oil, corn, etc) who were actually going to take delivery of the goods rather than just hold the paper on them, prices would normalize.
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