Speculators Are Not Responsible for the High Price of Oil at FinGad.com

Vote

Speculators Are Not Responsible for the High Price of Oil

Categorie: Commodities
Submitted 4 months ago by

Ziad , President & CEO at Blackhawk Partners, Inc

FolksCongress is blaming oil speculators for high oil prices and calling for tighter controls over futures trading. But speculators are not responsible for the skyrocketing prices of oil and gasoline.Our government and other governments around the world, on the other hand, are directly responsible for restricting the production and the supply of oil, causing prices to rise today and in the future.Speculators shouldn't be blamed for predicting, and trying to profit from disasters caused by politicians.Speculators bet on the future price of goods according to their judgment, but they have no power to dictate prices in their favor.Speculators stand to lose or profit depending on what the future might bring. They take risks--and take losses when their predictions turn out to be wrong. They don't determine the future, and they should be free to profit or lose from their decisions. Moreover, speculators serve the crucial function of signaling to the market what the future supply and demand for a given product is likely to be, which helps producers plan ahead accordingly.Congressional attacks on speculators will not increase the supply of oil or drop its price. If Congress wants to lower oil prices it should deregulate the energy market and permit oil exploration throughout America.Your thoughts are greatly appreciatedThanks for your consideration More...

[ 1 Comments | Send To A Friend | Bookmark Review ]

1 comments ↓

#1 | Lovephileo @ 4 months ago WEB CONSULTANT / PASTOR at LIGHT OF THE WORLD CHRISTIAN CENTER User Rank : 413 Portfoilo Balance: $1,110,169.00 Comment Rating: 0 Flag Comment Spam | Miscategorized | Prohibited: Your right. all nations are subject to the same factor - a rise in oil price in the world market. nothing wrong with speculators. even G8+5 has gone crazy with record-breaking prices of crude oil. in our case, many legislators are opposing and trying to repeal the oil deregulation law. somewhat absurd, high pump prices in the local markets are influenced mainly by the rising world oil prices. Even if you give control to the government or the private sector, the price still be the same.

Please Login or Register to comment