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Oil Speculator Crackdown Cometh: Central Planner In Chief Announces Self-Promotion To Margin Hiker In Chief At 11:10AM

Tyler Durden's picture





 

When it comes to evil, evil speculators driving stocks higher on endless gobs of cheap zero-cost liquidity, one will hear nary a peep out of the administration: after all: wealth effect or bust. However, when someone hears oil speculators, run and hife. Indeed, now that Obama's uber-central planning mandate has proven completely powerless to redirect the flow of zero-cost money from acquiring real, as opposed to paper-based, assets (read crude), the Teleprompter in Chief will have a sit down with the nation at 11:10 am and in the latest sermon from the White House mound, will "confront" oil speculators once and for all. His plan: why encourage margin hikes of course - the same principle that crushed the spine of the gold and silver spike in 2011. Unfortunately, unlike gold and silver, whose trading is still dominated by the Comex, energy has numerous alternative venues, such as the ICE, and increasing exchanges in China, which also happens to be the marginal demand setter with 3 consecutive months of near record imports. Which is why we are 100% confident that just like every failed attempt at central planning, all Obama will achieve is another spike in crude prices, just in time for the next global reliquification cycle, just in time for 2012's debt ceiling scandal, and just in time for the reelection.

From WaPo:

The White House plan, which Obama was to unveil Tuesday, is more likely to draw sharp election-year distinctions with Republicans than have an immediate effect on prices at the pump. The measures seek to boost spending for Wall Street enforcement at a time when congressional Republicans are seeking to limit the reach of federal financial regulations.

 

Obama plans to spell out his $52 million proposal Tuesday at the White House, where he will be joined by Attorney General Eric Holder.

 

Republicans have been hammering Obama on his energy policies, recognizing the political cost of high gas prices on the president. Obama’s plan would turn the tables on Republicans by taking aim at Wall Street’s role in the oil price chain.

Eric Holder? Out of carbonite again? And no mention of Bernanke? Ah yes... can't have the curtain lifted on he who runs it all...

So back to the evil, evil speculators:

Senior administration officials who put together the proposal said it aims to detect and deter illegal manipulation by energy speculators, the type of practices that many Democrats blame for the high cost of gasoline. The officials spoke on the condition of anonymity to discuss the plan ahead of Obama’s announcement.

 

They would not go as far as to say that market manipulation is responsible for rising gas prices, but the officials said they wanted to curtail the ability of speculators to take unlawful advantage of oil price volatility.

 

At issue is the increasing role of investment in oil futures contracts by pension funds, mutual funds, hedge funds, exchange traded funds and other investors. Much of that money is betting that oil prices will rise. Analysts say it is possible that such speculation has somewhat inflated the price of oil.

And specifically, here is what Obama will do:

Obama’s plan this time calls on Congress to:

 

— Increase six-fold the surveillance and enforcement staff of the Commodity Futures Trading Commission to better deter oil market manipulation.

 

— Increase spending on technology to provide better oversight and surveillance of energy markets.

 

— Increase civil and criminal penalties against firms that engage in market manipulation from $1 million to $10 million.

And finally:

— Give the Commodity Futures Trading Commission authority to increase the amount of money that a trader must put up to back a trading position. The administration officials said such authority could help limit disruptions in energy markets.

That's right: Obama is about to become the Margin Hiker-in-Chief: a swiss watch plan if there ever was one.

And scene.

 


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Tue, 04/17/2012 - 08:25 | Link to Comment holdbuysell
holdbuysell's picture

The beginning of a form of cap controls?

Tue, 04/17/2012 - 08:30 | Link to Comment GetZeeGold
GetZeeGold's picture

 

 

Stop the pipeline.....stop exploration in the gulf........HEY......stop your speculating!!!!

 

Tue, 04/17/2012 - 08:48 | Link to Comment Oh regional Indian
Oh regional Indian's picture

It's kind of ironic, and given how much the language is twisted, that first you speculate for oil, then someone else speculates on it.

America needs to realize that it's oil industry was one of the first to be outsourced. only the refiinieries were kept full bore.

There is no shortage of oil in the US.

Given all that is happening, perhaps he will announce the nationalization of BP for doing Deepwater H?

Or perhaps of Aarco? 

Hahaaaaaa......t'was a good thought.

ori

It's Never Too Late

Tue, 04/17/2012 - 08:58 | Link to Comment EscapeKey
EscapeKey's picture

There is no shortage of oil in the US.

There definitely is a shortage of oil in the US at present prices. It's all about the price.

Tue, 04/17/2012 - 09:06 | Link to Comment Yes We Can. But...
Yes We Can. But Lets Not.'s picture

Obama should be tarred with some petroleum product, and feathered, for imposing his feckless bozo self on the American people.

Tue, 04/17/2012 - 09:20 | Link to Comment francis_sawyer
francis_sawyer's picture

 Obama’s plan this time calls on Congress to:

 

— Increase six-fold the surveillance and enforcement staff of the Commodity Futures Trading Commission to better deter oil market manipulation

~~~

He forgot to say that the staff 'monitors' would all be required to wear scary clown outfits for added deterrence...

Fuck, the next thing I expect to hear out of this nit-wit's mouth is that he's hiring Rumplestiltskin to spin straw into oil...

Tue, 04/17/2012 - 10:38 | Link to Comment Pinto Currency
Pinto Currency's picture

 

For Barry to win, the Fed needs to jolt the money stock some more to temporarily stimulate the economy - the money supply has been flat since January 2012 but on a hellacious run for the past two + years.

http://research.stlouisfed.org/fred2/series/M1

M1 has just started to hop again (bears watching) and with Iran off the table in the media, the old standby distraction of blaming speculators will have to do.

Iran was so close.  They almost had the Cadillac and now they are stuck back in the beaten-up old jalopy.

Although Barry might get creative and add "haters" and gun owners to the list of those driving oil prices.

 

Tue, 04/17/2012 - 21:44 | Link to Comment horseman
horseman's picture

Its funny he would need to increase the surveillance six fold since the only market moving speculators are his two untouchable friends, Jamie and Lloyd, since his other friend, Jon, stole all the other speculators money.

Tue, 04/17/2012 - 09:43 | Link to Comment Vampyroteuthis ...
Vampyroteuthis infernalis's picture

Mmmmmm, I have an easier way to stop this. Make all markets open and transparent to participants. Everyone plays by equal rules. Make anything that is a financial product be put onto these fair markets.

Oh wait, I'm sorry. I once again am assuming that the markets are for price discovery and an efficient way to transfer wealth and not muppet killing. I apologize.

Tue, 04/17/2012 - 10:17 | Link to Comment tok1
tok1's picture

thats good idea they do it in Singapore in the futures you can see who you traded with and size traded ect.. Problem for US is if they did that in the treasuries it would prob become apparent pretty quickly.. how much buying the Fed is acually doing.. via the banks and panic might ensue..

Tue, 04/17/2012 - 11:13 | Link to Comment kralizec
kralizec's picture

This assclown has to be kicked to the curb in November no matter what, nobody can screw us faster than this tool!

Tue, 04/17/2012 - 09:11 | Link to Comment Oh regional Indian
Oh regional Indian's picture

I'm an abiotic oiler. Shhhhhhhhhh.....here comes Flakmeister! :-)

ori

Tue, 04/17/2012 - 09:21 | Link to Comment Flakmeister
Flakmeister's picture

Manna from heaven....

Tue, 04/17/2012 - 10:26 | Link to Comment Oh regional Indian
Oh regional Indian's picture

:-) All good Flakster. Time always tells, eh?

ori

Tue, 04/17/2012 - 09:32 | Link to Comment Godaddy
Godaddy's picture

Indeed

Tue, 04/17/2012 - 13:51 | Link to Comment EINSILVERGUY
EINSILVERGUY's picture

Nope

there is less supply of oil due to the restrictions on drilling but we are actually exporting thousands of gas. Its price but the Fed is causing the price increase and exporting the inflation

Tue, 04/17/2012 - 08:38 | Link to Comment slaughterer
slaughterer's picture

No wonder AAPL is being sold off: "speculators" will need more money to margin their oil futures.   

Tue, 04/17/2012 - 08:41 | Link to Comment Levadiakos
Levadiakos's picture

A margin hike on oil will crap the entire fee based managed ETF/mutual fund complex

Tue, 04/17/2012 - 08:43 | Link to Comment GetZeeGold
GetZeeGold's picture

 

 

Ummmm........I vote yes?

 

Tue, 04/17/2012 - 08:46 | Link to Comment jus_lite_reading
jus_lite_reading's picture

Why 11:10am? why not 9:11?

Tue, 04/17/2012 - 08:55 | Link to Comment Oh regional Indian
Oh regional Indian's picture

Because, how these occultists play it, it will be 11:11 when it begins.

And that is powerful stuff, numerologically speaking.

ori

 

Tue, 04/17/2012 - 09:11 | Link to Comment aerojet
aerojet's picture

What is the significance of 11:11?  All 1s?  These people aren't that weird, are they? Tell me they aren't that freaking weird.

Tue, 04/17/2012 - 09:15 | Link to Comment Oh regional Indian
Oh regional Indian's picture

It is a powerful number, nothinig weird there.

These folks though? Oh boy, un-bounded weirdness.

See this: https://www.google.co.in/search?sourceid=chrome&ie=UTF-8&q=11%3A11

And then just google Bohemian Grove for high weirdness.

ori

Tue, 04/17/2012 - 11:17 | Link to Comment Doubleguns
Doubleguns's picture

Margin hike without position limits, keeping JPM and all the other nefarious creatures out there from cornering large segmants of the market, like silver, will be a minimalistic attempt to control prices and still leave us with no real price discovery.

Tue, 04/17/2012 - 08:41 | Link to Comment Gully Foyle
Gully Foyle's picture

Once again. Someone with a FT account want to share the original?

Downstream Demand Destruction for Oil

http://theautomaticearth.org/Energy/downstream-demand-destruction-for-oi...

One of the most pronounced trends in the Western world since the onset of the global financial crisis has been the plummeting demand for petroleum and the subsequent losses for the refinery industry, which has been squeezed by a combination of declining credit availability, higher prices for input crude and lower demand/prices for refined products (over-capacity). This ever-deepening trend was discussed on TAE earlier in Petroplus - The Tip of an Iceberg.

What we are witnessing within the refinery industry and the petroleum industry in general is a situation in which higher prices, mainly fueled by leveraged speculation, geopolitical tensions and rising demand in the East, are burning themselves out by destroying demand in a positive feedback spiral. Here is a portion of the conclusion reached in the post linked above:

As is the case with most analyses by official institutions such as the IEA, we can safely assume that the effects of credit contraction on refinery utilization are being under-estimated. Refineries forced to scale back or go off-line in the short to medium-term will negatively impact crude oil demand, and we should see this add to the pressure currently weighing on crude oil prices. Lower prices will then feed back into the marginal financial pressures facing the oil industry.

For those who think that oil prices can only go up, up and away from here on out, I am still waiting to hear how plummeting demand for crude oil from refineries, which are now dropping off like flies, will contribute in the short-term. Some may argue that the developing economies of the East will single-handedly keep prices elevated, but they are ignoring a) the speculative premium built in to oil prices and b) the fact that these emerging economies do not exist in a bubble that is isolated from the effects of demand destruction in the West, i.e. a decoupled global economy.

Demand for oil is certainly still rising in the emerging economies at a rate faster than demand is falling in the West, but the question is how long before the latter burns out the former. In our hopelessly inter-connected global economy, there is little doubt in my mind that it will happen, just like higher oil prices will burn themselves out by feeding back into downstream demand destruction in the refinery industry and businesses/households. Anyway, here is the latest on the Iceberg that has had its way with Western refineries, courtesy of the Financial Times:

Energy: Refined out of existence

 

Sunoco petrol stations are a fixture of the US eastern seaboard, their blue-and-yellow awnings touting the brand's status as official fuel of Nascar racing. But after July, none of the petrol they sell will actually be made by Sunoco.

 

The 126-year-old company's decision to quit the refining business is the latest sign of the tumult in downstream fuel markets that is accompanying a global shift in oil use. As consumption flags in developed economies and grows in emerging markets, refineries are dying from Japan to Pennsylvania, the Sunoco home state where oil wells drilled in the 1850s begat the petroleum age.

 

The upheaval highlights the challenges facing policy makers as rising petrol prices endanger growth in the world's biggest economy. Washington has floated largely predictable responses: drill more, punish speculators, work harder towards energy self-sufficiency. But global trading on markets for petrol, diesel and heating oil highlight the persistent fact of America's energy interdependence.

 

Half the refining capacity on the populous US east coast is set to disappear. Sunoco has pulled the plug on two refineries already and warns that another in Philadelphia will close in July if no buyer steps forward. ConocoPhillips is trying to sell a refinery in Pennsylvania, idle since last year. On May 1, it will spin off its refining business. More than 3m barrels of daily refinery capacity have closed in western countries, since the financial crisis, says the International Energy Agency, the west's oil watchdog. Emerging economies have meanwhile added 4.2m b/d in capacity, with another 1.8m b/d coming this year. "It's really a tale of two markets," says Toril Bosoni, IEA senior oil analyst. "You have very contrasting pictures for economic growth and demand, and refining is reflecting what's going on elsewhere."

 

A good vantage point is Marcus Hook, a borough of 2,400 people squeezed into Pennsylvania's industrial south-east corner. J.N. Pew, founder of the Sun Oil Company, built a refinery there in 1901 to process crude borne by ships from the legendary Texas gusher known as Spindletop. It was one of many refineries to line the wide Delaware river. "If you were a child who grew up in this region, the refineries have been part of [its] fabric ... from the first moments of awareness," says Patrick Meehan, a Republican congressman who represents the area. Among his memories: "The smell."

 

Late last year, Sunoco put the Marcus Hook plant on the auction block and stopped feeding it crude after losing nearly $1bn in the past three years at its east coast refineries. The problems began at the docks. Marcus Hook relied on foreign oil delivered by tanker including 34.6m barrels from Nigeria, 5m from Norway, 3.3m from Angola and 3m from Azerbaijan last year, government records show.

 

Low in sulphur and yielding lots of high-value products such as petrol, this was some of the most expensive oil on the planet. Nigeria's Qua Iboe, a representative variety, averaged $114 a barrel in 2011. For several weeks, a barrel of Qua Iboe cost more than a barrel of reformulated gasoline blendstock, ensuring negative margins for refineries such as Marcus Hook. West Texas Intermediate crude, similar in quality, averaged just $95 last year. Texas oil production rose 25 per cent to top half a billion barrels for the first time since 1998. But Marcus Hook could not buy it, as no pipelines link it with Texas.

 

"You've got crude oil in this country. It's just a question of getting it to where the refineries are," says Denis Stephano, labour union president at ConocoPhillips's mothballed Pennsylvania refinery. In his union hall, Mr Stephano points to a map of the US's piecemeal pipeline system, which hangs next to a placard reading "Save refineries, save lives!"

 

In Washington, the signature energy battle of the past year has been over the Keystone XL pipeline, which a company wants to build to connect Alberta's oil sands with Texas. This would be likely to raise depressed Canadian prices but would do little to save refineries such as Marcus Hook. Most Canadian oil is too heavy to be processed there.

 

Crude oil prices soared back above $100 a barrel last year as the revolution in Libya halted production. The gains for crude outpaced the rise in petrol prices, which began to rally in earnest only after news of the latest refinery closures in the US and Europe. Petroplus, Europe's largest independent refiner, filed for insolvency in January and has been lining up buyers for five plants.

 

Keeping a lid on refined fuel prices has been weak consumption. US petrol demand has fallen steadily since 2007 as cars became more fuel-efficient, fuel marketers blended more corn-based ethanol into their product and high unemployment kept highway travel light. This wedged refineries between high input costs and a poor appetite for their fuel. "The downstream industry is the flywheel in the oil system," says Kevin Lindemer, an oil industry consultant. "Right now we're seeing big changes on both sides of the flywheel."

 

The US story is echoed throughout the west. Oil demand in Europe contracted by 320,000 b/d last year, the IEA says. Emerging-world demand more than offset these falls, led by countries that Barclays has nicknamed "Bics" – Brazil, India, China and Saudi Arabia. In the past five years their oil demand has grown by 5.1m b/d, while demand everywhere else has declined by 1.4m b/d, says Paul Horsnell, head of commodities research at the UK-based bank.

Tue, 04/17/2012 - 08:44 | Link to Comment Flakmeister
Flakmeister's picture

Did it ever occur to you that the capacity for refining light sweet crude is larger than the supply of light sweet crude?

Or did you think that oil was truly fungible at the refinery level?

Tue, 04/17/2012 - 09:11 | Link to Comment LawsofPhysics
LawsofPhysics's picture

Come on Flak, don't shatter that window, the FT propaganda is usually pretty good.

Tue, 04/17/2012 - 09:55 | Link to Comment Al Huxley
Al Huxley's picture

What!?  You mean all oil isn't the same?

Tue, 04/17/2012 - 14:34 | Link to Comment AustriAnnie
AustriAnnie's picture

You give us a good reminder that the majority of people don't know the difference.  And since mobs act on what they THINK is true, rather than on what is true, we can expect absolutely irrational responses to our oil problems.

If the sheeple think all oil is the same, investors treat all oil the same, as well as the media and politicians, then we can expect price volatility, government takeovers, shortages, and every other ill that results from misunderstanding and mismanagement of resources.

Tue, 04/17/2012 - 09:27 | Link to Comment Tarheel
Tarheel's picture

Fuck Obama. He is the most inept president we've ever had.

Tue, 04/17/2012 - 09:38 | Link to Comment Flakmeister
Flakmeister's picture

You really should read up on your American history... that claim is absurd...

Tue, 04/17/2012 - 08:26 | Link to Comment transaccountin
transaccountin's picture

$52 million proposal - ilaughed

Tue, 04/17/2012 - 08:34 | Link to Comment GetZeeGold
GetZeeGold's picture

 

 

Well it's just a tiny problem........we sent most of the money to the new Solendra.

 

Tue, 04/17/2012 - 08:42 | Link to Comment Levadiakos
Levadiakos's picture

Cramer tyold me to buy FSLR First Solar at $320

Tue, 04/17/2012 - 08:45 | Link to Comment GetZeeGold
GetZeeGold's picture

 

 

Best get on that then little man.

 

Tue, 04/17/2012 - 08:47 | Link to Comment jus_lite_reading
jus_lite_reading's picture

Actually Leo Kakalakas told me to buy First solar at $400 because everyone is jumping on the energy wagon!!

Tue, 04/17/2012 - 08:28 | Link to Comment Moneyswirth
Moneyswirth's picture

So today's diversion from rising gas prices and a flailing Presidency is "market manipulation"

That's fantastic.

He's pandering to the left-wing loon wing of the Democrat party base here, which means one thing---the internal polling data must be horrible. 

Tue, 04/17/2012 - 08:51 | Link to Comment brewing
brewing's picture

stupendous observation.  every move he is making right now is political because things aren't looking good...

Tue, 04/17/2012 - 09:23 | Link to Comment Sauk Leader
Sauk Leader's picture

This will never happen. Every issue this guy is talking about is a diversion from what his policies are doing. The MSM will take the text from the TOTUS and report it with no depth to the proposal and the stupid public will use it as a talking point. This guy has done everything to get people to talk about non existant causes of problems and how he proposes not to fix them. Maybe they will announce that Eric Holder has found that oil speculators have crossed the border into Mexico where they have killed 300 mexicans and 2 border control agents.

Tue, 04/17/2012 - 09:42 | Link to Comment Moneyswirth
Moneyswirth's picture

The agitator in chief needs a villain, and to tack his opponents to said villain.  This is a prime example.

POTUS:  "Today I come out against eeeevil market speculators.  Surely, nobody likes the eeeevil market speculators and the high price of gas that comes with their manipulation.  What's that? You oppose my plan to rout the eeeevil speculators?  Then you side with them."

Same thing happened with the Buffett Rule.  Don't like the plan (even though its a completely useless)?  You must side with rich greedy fat-cats.

Lather rinse repeat. 

Tue, 04/17/2012 - 12:20 | Link to Comment alangreedspank
alangreedspank's picture

Actually, the Buffett Rule IS a plan made by the "greedy fat-cats". No wonder why the President pushes for it.

Tue, 04/17/2012 - 08:27 | Link to Comment Caviar Emptor
Caviar Emptor's picture

hehe. Beat ya to it, Tyler :)

Yes, this is a delayed reaction. But it will only pour water on a grease fire that will help it spread further. Why? Because the cheaper we make it the faster we burn it. Make it artificially low for a while and watch the slack in supply get gobbled up at an even brisker pace than last time. At the end of the day only the long-term view with conservation measures will keep prices under some measure of control. Otherwise it's just a YoYo

Tue, 04/17/2012 - 08:31 | Link to Comment holdbuysell
holdbuysell's picture

Yes, that stockpiling country in Asia is most thankful for such cheap prices.

Tue, 04/17/2012 - 08:27 | Link to Comment GeneMarchbanks
GeneMarchbanks's picture

These triple digit numbers are seriously impeding on zAmerica's ability to sprinkle the seeds of democrazy globally.

Tue, 04/17/2012 - 08:53 | Link to Comment Oh regional Indian
Oh regional Indian's picture

And yet they do these crazy "exercises" that burn hundreds of thousands of gallon's of refined stuff.

Did you see the air exercise pictures recently Gene? Looked out of WWII, when you'd see a 100 Spitfires lined up on a huge runway.

SO .mil has more than enought o burn around the world. Always.

This whole oil story has such a tangential and hidden hold on us and a history, it's quite stunning.

ori

Tue, 04/17/2012 - 08:28 | Link to Comment q99x2
q99x2's picture

'Obama is about to become the Margin Hiker-in-Chief.'

He's nothing to me I tell you--nothing. And, those kids and wife that he brings to your site all the time...they're immigrants too.

Tue, 04/17/2012 - 08:45 | Link to Comment Taterboy
Taterboy's picture

This what happens when you let a welfare baby grow up to be President.

Tue, 04/17/2012 - 08:29 | Link to Comment firstdivision
firstdivision's picture

...aaaaannnd WTI surges on this news.

Tue, 04/17/2012 - 08:31 | Link to Comment FubarNation
FubarNation's picture

WTF does Holder have to do with this? 

 

I'm so sick of seeing that Dirt Stache slmeball walking around without even a slap in the wrist for F&F or sitting on his ass while Corzine walks.

 

End of rant.  Thanks for listening.

Tue, 04/17/2012 - 08:39 | Link to Comment SheepDog-One
SheepDog-One's picture

Shitstache Holder.

Tue, 04/17/2012 - 08:48 | Link to Comment GetZeeGold
GetZeeGold's picture

 

 

Oil gets a pass......cause it's black.

 

@FubarNation.........Free Jon Corzine!!!!

 

Oh wait.....he is.

 

Tue, 04/17/2012 - 08:32 | Link to Comment scatterbrains
scatterbrains's picture

so now will they target the energy sector with HFT fluff buying to counter act this supposed price cap on energy or will they focus on doubling the price of AAPL to counter act falling energy sector stocks and to maintain their rising stock trend in this totally rigged market?

Tue, 04/17/2012 - 08:31 | Link to Comment greg2514
greg2514's picture

He fails to mention all the QE's, I am sure they had noting to do with the price of oil rising. 

Tue, 04/17/2012 - 09:12 | Link to Comment xela2200
xela2200's picture

That is exactly why they need to smack the oil price before the next round begins.

Tue, 04/17/2012 - 08:32 | Link to Comment SeverinSlade
SeverinSlade's picture

Because the idiot Sheeple still don't understand the underlying reason as to WHY traders are even speculating in the first place.  Continue to debase the currency by flooding the markets with freshly printed 0s and 1s and those newly created digital monies have to flow into SOMETHING.

(Sigh) Once again America will get the Teleprompter in Chief it deserves.  Not the one it NEEDS.

Tue, 04/17/2012 - 08:31 | Link to Comment Bagbalm
Bagbalm's picture

This is just so they can say they tried before they impose price controls.

Central planners always end up trying that and are amazed when once again businesses can't sell under cost and make it up on volume. Government intervention always ends up with empty shelves and gas lines.

I was alive and working when Nixon tried to manage the economy to drive down 4% interest rates. He quadrupled them in a year and a half.

Tue, 04/17/2012 - 08:41 | Link to Comment UGrev
UGrev's picture

Another.. "Create the problem and offer the solution" scam.. 

Tue, 04/17/2012 - 08:45 | Link to Comment Widowmaker
Widowmaker's picture

Onama is pissing on a monopoly board.

Nationaliz big oil, just like argentina.

Bros dont want to play? Destroy them and auction the pieces to those that do. China will put out.

Oil speculation and collusion with producers has $70 barrel of nonsense in the price - same as it ever was.

Perhaps the most sad is the leagues of self professed experts on ZH that think money printing has anything at all to do with restricted supply.

This is a manufactured problem by producers. Short oil.

Tue, 04/17/2012 - 09:17 | Link to Comment riphowardkatz
riphowardkatz's picture

You are funny. If you aren't being funny, you are ignorant.

Asset in the ground. Takes multibillions and tons of knowledge to extract. Two times the dollars in existance with no end in site to its expansion but no that has nothing to do with rising prices all shortages. And yes the chinese who can barely make a big ship are going to do the work to get this stuff from where exxon is getting it from.

 

Tue, 04/17/2012 - 09:25 | Link to Comment bshirley1968
bshirley1968's picture

"Dumbass" is an aggressive disease that is in its late stages in your life.  I guess "restricted supply" is the reason a 20 oz Coke is $1.89 at the convenience store or bottled water $1.29.  I guess "restricted supply" is the reason a gallon of milk is $4.00.  Maybe it is the reason a frickin' pickup truck is $40k, or a economy 2x4 is $2.69 each, or why 5/8" BC plywood is $34.00 a sheet, or a can of freon $12.00, a gallon of antifreeze is $15, a nasty burger lunch is $7.50, or a set of average tires is $800.00

You are an IDIOT!  If I were Iran, I would tell you to take your dollars or euros and stick them up your ass.  If you think I would trade the most precious natural resource in the world for a paper currency that is being devalued so JPM and GS can make their bonus schedule,..........like I said, IDIOT.

Tue, 04/17/2012 - 09:29 | Link to Comment riphowardkatz
riphowardkatz's picture

Coca-Cola reported a profit of $2.05 billion, or 89 cents a share, up from $1.9 billion, or 82 cents, a year earlier. The year-earlier quarter included restructuring charges of four cents a share.

Revenue rose 5.9% to $11.14 billion as world-wide unit case volume grew 5%.

Gross margin fell to 61% from 62.5% as input costs jumped 10%.

Tue, 04/17/2012 - 10:54 | Link to Comment Lednbrass
Lednbrass's picture

Uhhhh...yeah. Restricted supply? Got any hard data to back up what you say? This oughta be a hoot...

Some nonsense you picked up on imastatisttarddotcom doesnt count, how about real numbers that track the energy industry and more specifically oil/gasoline production, imports, exports, stocks, and processing in the US that make your point? You wont find them.

Production capacity at refineries hasnt substantially changed, nor has production at refineries, non-SPR oil stocks, and global oil production.

Oil imports have dropped by ten percent or so in the last 4 years, yet gasoline consumption in the US has dropped by 50% in the same time span. Should they import more just to stack up barrels for the hell of it?

What restricted supply are you talking about? Come up with some hard numbers that show your point.

Tue, 04/17/2012 - 08:36 | Link to Comment lizzy36
lizzy36's picture

Golf Clap for central planning.

Speculation in oil market, which drives the price higher - BAD. Speculation in equity markets which drives the market higher - GOOD.

And the WORST is speculation by short sellers. After all Lehman, AIG, FNM, FRE, BSC, were all perfectly healthy entites, with awesome balance sheets until the short sellers came in.

Tue, 04/17/2012 - 08:43 | Link to Comment SheepDog-One
Tue, 04/17/2012 - 08:50 | Link to Comment disabledvet
disabledvet's picture

but the market's not supposed to go higher. Japan teaches us "equities should decline" when debt monetization plans proceed. "Loss of capital, investment...government this, government that" etc, etc. Problem of course is "in the USA every American has a gun..." X 10 actually. As such "you can centrally PLAN"...but that's about it. http://www.youtube.com/watch?feature=player_detailpage&v=SVW6SH2bjYQ

Tue, 04/17/2012 - 08:39 | Link to Comment HD
HD's picture

More meaningless election year grandstanding.

Barry or Mittens - what a choice.

Tue, 04/17/2012 - 08:39 | Link to Comment UGrev
UGrev's picture

Government SubsiDIEzed Market Manipulation.  

WHAT         THE              FUCK!!!! 

 

Tue, 04/17/2012 - 08:54 | Link to Comment jus_lite_reading
jus_lite_reading's picture

And they wonder why retail will never return to "investing" in the ponzi markets? LMAO

 

GAME OVER

 

Without properly functioning stock markets, its like 1929 all over again, except this time, globally and on the order of magnitude greater...

 

Anyone wonder what the Dept of "HOMELAND" Security is doing with these?

http://www.federaljack.com/?p=174180

 

 

Tue, 04/17/2012 - 09:00 | Link to Comment Vince Clortho
Vince Clortho's picture

Exactly right.

Tue, 04/17/2012 - 08:39 | Link to Comment Arnold Ziffel
Arnold Ziffel's picture

I hope this speech doesn't pre-empt Captain Kangaroo reruns this morning.

Tue, 04/17/2012 - 09:12 | Link to Comment GetZeeGold
GetZeeGold's picture

 

 

I don't think so because I hear Mr. Green Jeans is going to be on. No way the POTUS preempts that.

 

Tue, 04/17/2012 - 08:41 | Link to Comment SheepDog-One
SheepDog-One's picture

Obongo the Pander bear....he oughta take his act on the road, WAY on down the road!

Tue, 04/17/2012 - 08:44 | Link to Comment Gully Foyle
Gully Foyle's picture

http://theeconomiccollapseblog.com/archives/25-signs-that-middle-class-f...

The following are 25 signs that middle class families have been targeted for extinction....

#1 Over the past several decades, millions upon millions of middle class Americans have been systematically turned into government dependents.  Back in 1960, social welfare benefits made up approximately 10 percent of all salaries and wages.  In the year 2000, social welfare benefits made up approximately 21 percent of all salaries and wages.  Today, social welfare benefits make up approximately 35 percent of all salaries and wages.

#2 Unemployment is at epidemic levels and the vast majority of the new jobs that have been "created" in recent years have been low paying jobs.  Of those Americans that do have a job at this point, one out of every four works a job that pays $10 an hour or less.

#3 The "working poor" is a group that is rapidly growing in this country.  If you can believe it, the United States actually has a higher percentage of workers doing low wage work than any other major industrialized nation does.

#4 Over the past several decades, the percentage of low income jobs has steadily increased.  Back in 1980, less than 30% of all jobs in the United States were low income jobs.  Today, more than 40% of all jobs in the United States are low income jobs.

#5 The way that our economic system is structured today, almost all of the economic rewards go to the very top of the food chain.  The following is how income gains in the United States were distributed during 2010....

-37 percent of all income gains went to the top 0.01 percent of all income earners

-56 percent of all income gains went to the rest of the top 1 percent

-7 percent of all income gains went to the bottom 99 percent

#6 Several decades ago, there was a much more even distribution of income in this country.  Back in the 1970s, the top 1 percent of all income earners brought in about 8 percent of all income.  Today, they bring in about 21 percent of all income.

#7 As the middle class shrinks, the number of "low income" and "poor" Americans is rapidly rising.  Today, approximately 48 percent of all Americans are currently either considered to be "low income" or are living in poverty.

#8 Manufacturing jobs once enabled huge numbers of Americans to enjoy a middle class lifestyle.  Unfortunately, those jobs are leaving this country at a breathtaking pace.  Back in 1940, 23.4% of all American workers had manufacturing jobs.  Today, only 10.4% of all American workers have manufacturing jobs.

#9 In the old days, any man that was willing to work hard and wanted a job could get one.  Today, there are millions of American men sitting on their couches at home wondering why nobody will hire them.  Back in 1950, more than 80 percent of all men in the United States had jobs.  Today, less than 65 percent of all men in the United States have jobs.

#10 The middle class is shrinking at the same time that America is getting poorer as a nation.  In the middle of the last century, the United States was #1 in the world in GDP per capita.  Today, the United States is #13 in GDP per capita.

#11 Every year now, we see millions of Americans fall out of the middle class.  In 2010, 2.6 million more Americans descended into poverty.  That was the largest increase that we have seen since the U.S. government began keeping statistics on this back in 1959.

#12 The shrinking middle class is having a disproportionate impact on children.  At this point, approximately 22 percent of all American children are living in poverty.

#13 In the old days, most Americans grew up in middle class neighborhoods.  Sadly, this is no longer true.  In 1970, 65 percent of all Americans lived in "middle class neighborhoods".  By 2007, only 44 percent of all Americans lived in "middle class neighborhoods".

#14 The concentration of wealth at the very top of the food chain is astounding.  Right now, over 50 percent of all stocks and bonds are owned by just 1 percent of the U.S. population.

#15 When you concentrate too much power in the hands of the federal government and the big corporations, it is inevitable that massive amounts of wealth will become concentrated in just a few hands.  In the United States today, the wealthiest one percent of all Americans have a greater net worth than the bottom 90 percent combined.

#16 There is nothing wrong with making money, but there is something wrong with a game where individuals and small businesses cannot compete fairly.  According to Forbes, the 400 wealthiest Americans now have more wealth than the bottom 150 million Americans combined.

#17 When the number of poor people rapidly expands in a society, that is a recipe for social unrest.  At this point, the poorest 50 percent of all Americans collectively own just 2.5% of all the wealth in the United States.

#18 The hidden tax of inflation is absolutely devastating middle class families all over America.  Since 1970, the U.S. dollar has lost more than 83 percent of its value.  Any dollars that middle class families try to save are constantly losing a little bit more value every single day.

#19 American workers that try to play by the rules find that they are constantly fighting a losing battle.  According to one study, between 1969 and 2009 the median wages earned by American men between the ages of 30 and 50 dropped by 27 percent after you account for inflation.

#20 In recent years, many middle class families have seen their paychecks get smaller.  Median household income in the United States has fallen 7.8 percent since December 2007 after adjusting for inflation.

#21 In recent years, many middle class families have seen many of their basic expenses absolutely soar.  For example, health insurance costs have risen by 23 percent since Barack Obama became president.

#22 Just turning on the lights and heating their homes has become a major burden for many middle class families.  Electricity bills in the United States have risen faster than the overall rate of inflation for five years in a row.

#23 Just putting gas in the car has become a major financial ordeal for millions of hard working Americans.  The average price of a gallon of gasoline in the United States has increased by more than 100 percent since Barack Obama became president.

#24 Sadly, government dependence is now at an all-time high, and that is the way that many among the elite like it.  When Barack Obama took office, there were 32 million Americans on food stamps.  Now, there are more than 46 million Americans on food stamps.  In particular, an astounding number of children are on food stamps right now.  At this point, approximately one-fourth of all American children are enrolled in the food stamp program.

#25 Many middle class families will not be in the middle class for too much longer.  According to a shocking new study from the National Bureau of Economic Research, 200,000 U.S. households will use the money from their tax refunds this year "to pay for bankruptcy filing and legal fees".

Unless major changes are made on a national level, the middle class is going to continue to disappear.

Tue, 04/17/2012 - 08:48 | Link to Comment Widowmaker
Widowmaker's picture

Mission accomplished, pissboy!

Tue, 04/17/2012 - 08:44 | Link to Comment bob_dabolina
bob_dabolina's picture

Why doesn't he just stick with the script?

Bush's fault.

Tue, 04/17/2012 - 08:46 | Link to Comment Everybodys All ...
Everybodys All American's picture

Obama is all about the optics.

Tue, 04/17/2012 - 08:51 | Link to Comment Levadiakos
Levadiakos's picture

OBAMA'S REAL FATHER: ONLY FRANK MARSHALL DAVIS CONNECTS ALL THE DOTS

http://astuteblogger.blogspot.com/2008/09/obamas-real-father-connecting-dots.html

 

Tue, 04/17/2012 - 09:18 | Link to Comment GetZeeGold
GetZeeGold's picture

 

 

If true....at this point.....it just wouldn't matter anymore. If the Marxist stuff doesn't matter....what will?

 

Tue, 04/17/2012 - 09:22 | Link to Comment Everybodys All ...
Everybodys All American's picture

This would make him a naturalized citizen I'd assume and the birthers would be proven wrong. Other than that ... who cares.

He is a massive failure as a president and needs to be thrown out on his backside.

Tue, 04/17/2012 - 09:52 | Link to Comment WonderDawg
WonderDawg's picture

I'm not positive about this, but I don't believe "naturalized citizens" are eligible for the presidency.

Tue, 04/17/2012 - 08:50 | Link to Comment Gully Foyle
Gully Foyle's picture

And while I am at it

http://exiledonline.com/class-warfare-on-two-fronts-from-afghanistan-to-...

Class Warfare On Two Fronts: From Afghanistan To Middle America, The Untold Story Of Sgt. Bales

This past Thursday, a Modesto, California, man whose house was in foreclosure shot and killed the Sheriff’s deputy and the locksmith who came to evict him from his condominium unit. Modesto authorities responded by sending 100 police and SWAT snipers to counter-attack, and it ended Waco-style, with the fourplex structure burning to the ground with the shooter inside.

It’s not surprising that this should happen in Modesto: Last year the Central California city’s foreclosure rate was the third worst in the country, with one in every 19 properties filing for foreclosure.  The entire region is ravaged by unemployment, budget cuts, and blight — the only handouts that Modesto is seeing are the surplus military equipment stocks being dumped into the Modesto police department’s growing arsenal.

The shooter who died was 45 years old and he appears to have lost his condominium over a $15,000 home equity loan he took out almost a decade ago, owed to Bank of America. The condo was sold at an auction for just $12,988 to a shady firm, R&T Financial, that doesn’t even have a listed contact number. Too much for the former security guard, who barricaded himself in the condo which had been in the family for decades. He refused to walk out alive.

These “death by foreclosure” killings have been going on, quietly, around the country ever since the housing swindle first unraveled. Like the story of the 64-year-old Phoenix man whose daughter and grandson were preparing to move in with him after losing their home to foreclosure — only to get a knock on his door surprising him with an eviction notice on the house he’d owned for over 30 years. Bank of America foreclosed on him despite his attempts to work out a fair plan.

We now know that the same banks that had been bailed out over their subprime fraud disaster were, by the time this happened, headlong into another criminal scheme, this time foreclosure fraud. The fraud was effected both illegally and in bad faith on a scale so vast it’s hard not to think that it was carried out by some marauding foreign army.

Anyway, the old man grabbed a .357 and a beer, walked outside into a sea of Phoenix cops and snipers, and fired his gun off until they cut him down in a hail of bullets.

Sometimes the “losers” in this class war make it easier on everyone else by killing themselves and setting themselves on fire as they’re being evicted, as one Ohio couple recently did. Others class war “losers” aren’t as cooperative, like a Florida man who was gunned down by police after he set his foreclosed townhouse on fire last year.

It’s exactly the sort of lopsided class war that Warren Buffett first officially acknowledged in 2006:

“There’s a class war, all right, but it’s my class, the rich class, that’s making war, and we’re winning.”

Buffett is right to call it a one-way war, in both a metaphorical sense and in a literal sense, given the endless wars being waged for over a decade now, wars that are tied to the class wars at home.

...

(Last year, President Barack Obama’s Joint Chiefs of Staff chairman, Adm. Michael Mullen, said many of the austerity cuts would fall on soldiers’ pay and benefits rather than slashing weapons programs and force levels, which he called the “relatively easy” thing to do.)

...

As a matter of fact, there is a company name: Paramount Equity Mortgage. And there is a person’s name: Hayes Barnard, the CEO and co-founder of Paramount Equity. He lives in Roseville, California. In many ways, the story of the “winner” in this class war story is the most revealing, and enraging part of all.

Paramount Equity was founded in 2004, and quickly spread across the Western states, issuing some $8 billion in loans. Paramount Equity’s subprime predation really took off in 2006, right after the Bush Administration’s Department of Housing (HUD) and the FHA qualified Paramount Equity government insurance on its mortgages.

Almost immediately, Paramount Equity flooded the Tacoma region’s radio airwaves with deceptive ads hard-selling refinancing loans, featuring the voice of CEO Hayes Barnard promising the lowest rates, the most honest dealing, giving his personal guarantee.

However, a raft of fraud and deception charges followed. In 2008, the Washington State Department of Financial Institutions announced it was charging Paramount Equity Mortgage with deceptive lending practices and revoking its license.

Paramount stood accused of charging and collecting unearned fees, charging consumers to buy down interest rates without actually reducing the rate, failing to make required disclosures and making state and federally-required disclosures in a deceptive manner.

“Paramount failed to make proper disclosures in almost every loan we reviewed,” said Deb Bortner, director of DFI’s Division of Consumer Services. “Washington [state] has many licensed mortgage brokers who comply with the law. In today’s market, we simply do not need a mortgage broker engaged in deceptive conduct doing business in this state.”

The state’s charges also singled out Hayes Barnard for “engaging in a deceptive advertising campaign.”

As is so often the case, there’s far too little reported specifics on the actual nature of the fraud and deception. Sometimes you have to look in the comments sections on real estate or legal blogs from the affected region. Like this comment left on a marketing blog posting calling out Paramount Equity’s “lies”:

“I apologize if this is maybe a little off topic. I refinanced with Paramount back in 2004. Come 2009, my loan adjusted and I was left with no choice but to walk away with my 3 kids and stay at home wife. I had to rely on credit cards the last couple of years, even charging a couple mortgage payments.

“We ended up filing ch. 7 and we are now renting and have ZERO (if not worse) credit. Today (Sept. 27, 2011) an auditor came to my door and gave me some info and verified other info regarding B-of-A filing a PMI [private mortgage insurance] claim. Sorry so long winded….

“One of the docs he showed me was of my stated income which was double …  DOUBLE my income at the time. I NEVER would put myself into such a situation and lied. I honestly believe the number was changed and it was burried [sic] in an inch of docs I had to sign and I just didn’t see it.

“I’m not claiming complete innocence, because after all, I DID sign everything and agreed to the loan (which I didn’t know was a negative amortization loan. Hell, I didn’t even know what that meant). Now, we’re stable, but my financial future and creditworthiness is screwed. I barely got a $500 limit credit card at 17%.

“Do I have any type of recourse here? I’m not frivolous, but I am at a loss. In fact … I LOST everything. Thanks in advance.”

These sorts of stories can be found everywhere, and they repeat themselves over and over. And what’s most galling of all is that these plundering crooks preyed on those most vulnerable — military families suffering from the chaos of war, minorities, low-income people — to generate their fast riches, backed with government guarantees.

Getting Off Easy

For all the swindling and destruction, including the “unconscionable” exploding loans Paramount Equity foisted on Sgt. Bales’s wife while he was off fighting in Iraq, the state of Washington settled in 2009 with what can only be described as a wrist-massage: A fine of a mere $392,000, no admission of guilt.

Paramount even got to keep its license to operate. This, despite the incredible admission in the signed consent that “Paramount admits that during the relevant time period, Paramount did not maintain books and records.”

This is what a lopsided class war looks like: The financial fraudsters, the One Percenters, fleece the unsophisticated locals like 19th century Europeans plundering far-away aborigines.

One victim of Paramount commented bitterly on the settlement:

“We have not one, but TWO ugly loans which are breaking us from good ol’ Paramount Equity Mortgage. …. The citizens who signed these toxic documents are suffering EVERY DAY and losing their homes because Matt and Hayes need to make their yacht payment.

“Our financial lives, that took 30 years to build, have been crushed because of the deception that occurred in their office (where no employee appeared to be over 40 years of age) I remember asking at the closing table, ‘Does anyone have gray hair in this building??!!’ It was unnerving. The parking lot looked like a BMW Sales Lot. …

“Soon, I intend to stop crying about our mortgages, as I have been doing over the last THREE YEARS… And Washington State Department of Financial Institutions: SHAME ON YOU. Shame on you.”

Two “ugly loans” from Paramount Equity are what broke Kathilyn and Roger Bales.

The end result: Hayes Barnard and Paramount Equity Capital are doing better than ever. In 2009, Hayes Barnard was named “Entrepreneur of the Year” by the Roseville Chamber of Commerce, the wealthy Sacramento suburb where Paramount Equity Mortgage is headquartered. In 2010, the Sacramento Business Journal honored him as one of Sacramento’s “40 under 40” leaders.

The big payoff came last year, when one of the world’s largest infomercial firms, Guthy-Renker, bought a “significant equity position” in Hayes Barnard’s company. You might know Guthy-Renker as the company that makes all those annoying Tony Robbins infomercials and Susan Lucci skincare infomercials.

Guthy-Renker also owns an equity stake in RealtyTrac, the leading foreclosure intelligence source. That’s good news for Hayes Barnard, because it means he’ll be able to wet his beak on the aftermath of the subprime plunder by getting first dibs on the best foreclosure deals. It’s a win-win for the One Percent.

In this degenerate 21st Century version of America, Hayes Barnard exemplifies everything that the current system rewards. In the anti-meritocracy we live in, the sociopaths and crooks are the “winners.” Being a “winner” means you get quoted adoringly in a Sacramento Business Journal Q&A, spouting out the blackest of unintentional black humor:

“As a younger professional, what is the biggest challenge you face?

“As a young professional, the biggest challenge I face is finding the right balance between raising my three children all under 3 years old, being a supporting husband and leading my team as a CEO of three companies. … Achieving true success is to give, give, give and help as many people as you can while leading for your family, employees and community.”

That’s how the class war “winners” rub it in on the rest of us — especially their victims. How can you function after reading such self-serving drivel, particularly if you’re one of the victims?

As for the “losers” in this class war: Sgt. Roger Bales’s wife and children are ruined. They have no home; they only own debts to the tune of hundreds of thousands of dollars, debts owed for life to the Hayes Barnards of this country. The “winner” — the swindler — is a community hero.

...

(From the comments)

I was in from 2000-2006. Drive around any military town and there are countless pay day loan places. Every car lot and mortgage company has a sign out that says something like “E-1 and above instant credit approval”.

The reason is that as a federal employee, all they have to do is make one phone call and your wages get garnished. I even had my garnished by a company I didn’t do business with and it took forever to get that fixed.

As an E-5, I used to fight with my immediate command over the fact that they refused to do needed training on personal finance. For a lot of us enlisted, the military is the first time they have a paying job. If I sat down with our records, easily 90% of our personnel problems started off with bad debt getting out of control for these kids.

Then again, for the military, there is a huge incentive to hold onto to people. Indentured servitude is basically systematically used in a lot of different hob classifications. Most of the nukes I knew that stayed in were eyeballs deep in debt and couldn’t afford to get out.

Tue, 04/17/2012 - 08:49 | Link to Comment Dr. Engali
Dr. Engali's picture

This guy is making me sick. I am tired of seeing his mug on tv every other day. I hope gas hits $6.00 by election day.

Tue, 04/17/2012 - 08:56 | Link to Comment GetZeeGold
GetZeeGold's picture

 

 

It probably will.....but speculating on that is going to be frowned upon.

 

Tue, 04/17/2012 - 08:51 | Link to Comment asteroids
asteroids's picture

Obama. Chief puppet is more like it.

Tue, 04/17/2012 - 08:57 | Link to Comment riphowardkatz
riphowardkatz's picture

“We can't drive our SUVs and eat as much as we want and keep our homes on 72 degrees at all times.." BO 

And people keep saying he doesn't keep election promises.  

Tue, 04/17/2012 - 08:59 | Link to Comment junkyardjack
junkyardjack's picture

They say "energy speculators" but we all know who they are talking about, its sad that racism is still so high in this country

Tue, 04/17/2012 - 09:04 | Link to Comment Monedas
Monedas's picture

BO Juice is flailing to his leftist base !  If that doesn't work prepare for dirtiest vote count in our history ! Every election challenged and trunk loads of lost votes showing up for "Just In Time" electioneering !  Monedas  2012   Comedy Jihad Chicago Uberalles 

Tue, 04/17/2012 - 09:03 | Link to Comment dcb
dcb's picture

nope, can't make the connect between margin and the fed, that's a no no!!!

Tue, 04/17/2012 - 09:05 | Link to Comment Vince Clortho
Vince Clortho's picture

Time to sacrifice more civil liberties and freedom.

Tue, 04/17/2012 - 09:07 | Link to Comment youngman
youngman's picture

54 Million..he gave more to Kenya to cover his tracks down there....

Tue, 04/17/2012 - 09:09 | Link to Comment MFL8240
MFL8240's picture

Circus act that you people put in office will open again today on a new plan all to rid people of their freedom as the Keystone pipeline is ignored anbd the drilling in the gulf haulted by this same clown.

Tue, 04/17/2012 - 09:08 | Link to Comment slaughterer
slaughterer's picture

Have we ever had a President who made as many TV appearances as BO?  Seriously, what are the numbers here?  This getting like a non-stop telethon.   

Tue, 04/17/2012 - 09:11 | Link to Comment Levadiakos
Levadiakos's picture

the media is in the tank for him and they are panicked

Tue, 04/17/2012 - 09:19 | Link to Comment SheepDog-One
SheepDog-One's picture

We used to laugh at Castros weekly 1 hour mandatory speeches. Hell those were nothing compared to ObaMao's 3 or 4 time daily media appearances. 

Tue, 04/17/2012 - 09:35 | Link to Comment GetZeeGold
GetZeeGold's picture

 

 

Abaa abaa abaa......was that really on the teleprompter?

 

He always says that right before the big lie.

 

Tue, 04/17/2012 - 09:58 | Link to Comment Dan Conway
Dan Conway's picture

And you can't avoid obummer even on conservative radio.  After listening to Rush or Hannity bash him for 30 minutes then the Fox News Radio Update comes out with the best of Obummer sound bite of the day - every single day.  I can't wait to hear the crap that comes out of this man's mouth at 11:10 because it will be like getting a shot at the doctor - just get it over with as soon as possible.  In two months, the talking head idiots will be wondering why oil prices are even higher after fixing the speculation problem.  Too bad the talking heads will never understand it is helicopter ben that is the primary culprit. 

Tue, 04/17/2012 - 10:18 | Link to Comment Levadiakos
Levadiakos's picture

Back in the day, eh?

Tue, 04/17/2012 - 09:11 | Link to Comment KondaU
KondaU's picture

Strangely enough there isn't a witch hunt going on for the evildoing speculators that pumped AAPL over 600 and BRK.A to 120k and S&P500 to 1370 etc. etc...

Tue, 04/17/2012 - 09:11 | Link to Comment Hobbleknee
Hobbleknee's picture

Will TSA be on location, groping Eric Holder to make sure he doesn't smuggle any guns?

Tue, 04/17/2012 - 09:18 | Link to Comment SheepDog-One
SheepDog-One's picture

So basically....Obamas great plan is to take $52 million from the taxpayer to manipulate the price of oil down, which basically will never work and cause gas to go up. 

Oh I see, we've gone far past full retard.

Tue, 04/17/2012 - 09:27 | Link to Comment bshirley1968
bshirley1968's picture

How much does that dept of energy cost us each year?  And what do we get for it?

Tue, 04/17/2012 - 09:29 | Link to Comment djsmps
djsmps's picture

11:10AM. Really. So, he will start his speech at 11:10AM. Really? He has too much contempt for the American people to ever start when says he will.

Tue, 04/17/2012 - 09:33 | Link to Comment overmedicatedun...
overmedicatedundersexed's picture

oil and gas ration books at set price per gallon..it's for the war effort people wave those flags beat the economic disaster that is our socialistic nightmare called USA USA

Tue, 04/17/2012 - 09:38 | Link to Comment bshirley1968
bshirley1968's picture

Oil is CHEAP! people!  When you consider how important it is and all we get done with it......IT IS DIRT CHEAP!

 

For $.60 you can take 6 people and all there stuff 8-10 miles in comfort and airconditioning.

A barrel of oil (37 gal) is the equivilant energy output of 100 men for 1 year.  At min wage that works out to somewhere around $1.6 million dollars in wages.  Bottom line is we should be paying a lot more.  The problem is we have created a life and economy based on cheap food and energy.  Two very ESSENTIAL things.  We have no problem plopping down $600 for a "stupid" phone so we can be hooked up like the borg, or $120.00 for a pair of designer jeans, or $150 for the latest Nike shoe, $1.20 for a bottle of water, $1.89 at Taco Bell for a cup of sugar water, $4 for a coffee at SB, but cry like babies when we have to put $100 in our $40k car/truck so we can ride around at the mall, drive to the lake for the weekend, take little Johnny to the baseball game, etc.

Time to wake up and GROW up.

Tue, 04/17/2012 - 10:42 | Link to Comment GetZeeGold
GetZeeGold's picture

 

 

High oil drives up the cost of everything else. Grandma can eat catfood....that stuff is freakin cheap.

 

I'll grow up if you start thinking.

 

Tue, 04/17/2012 - 09:40 | Link to Comment Flakmeister
Flakmeister's picture

Jeez... I wonder if some posters here have been influenced by this???

 

Karl Rove Group That Absurdly Blames Obama For Rising Gas Prices Was Bankrolled By Top Oil Speculator

... Crossroads GPS, a political organization run by strategist Karl Rove, has spent $1.7 million on a new national ad campaign blaming President Obama for making gasoline cost “too much.” But the organization has in the past received substantial funding from Paul Singer, manager of a hedge fund responsible for some of the highest volume of oil trading in the country

Tue, 04/17/2012 - 09:47 | Link to Comment rwe2late
rwe2late's picture

— Increase six-fold the surveillance and enforcement staff of the Commodity Futures Trading Commission

— Increase civil and criminal penalties against firms that engage in market manipulation

 Won't this apply to the other speculators in commodities who must be certainly be blamed as the cause of globally rising food prices(overfishing, ethanol, global agri-business, and pollution are irrelevant)?

And to other market manipulators in metals (PMs obviously need government controls) and rare earths (darn foreigners)?

I suspect there is a lot of potentially valuable political hay in all this, given a careful marketing strategy for that commodity, and selective application of law. 

Tue, 04/17/2012 - 09:54 | Link to Comment Seize Mars
Seize Mars's picture

Wait a second. So they print something like 5 trillion dollars, and then when there are more dollars chasing the same quantity of oil (hence dollars per barrel is larger), it's the speculators' fault?

Wasn't this all in Hazlitt's book, "Economics in One Lesson," written what, in 1945?

Holy crap, seriously: these guys have been using the same playbook forever. They plays are all the same! Over and over.

Tue, 04/17/2012 - 09:58 | Link to Comment slowimplosion
slowimplosion's picture

The inconsistencty around here is staggering.

Either you believe in bullshit leverage or you don't.  I don't.  Margins could be 100% and it would suit me fine.

Tue, 04/17/2012 - 09:57 | Link to Comment docj
docj's picture

Obama's fascism could almost be forgiven if he weren't so blasted incompetent.

Tue, 04/17/2012 - 10:12 | Link to Comment hyperbole2000
hyperbole2000's picture

Rescind the 1999 "Securities Modernaization Act" clause that allows TBTF banks to act as "Commercials".  Without them the real "Commercials" will restore the link to supply and demand economics that is lost when the TBTF banks take speculator action that no real "Commercial" would touch with a 10 foot pole.

Such an amendement was done with respect to natural gas contracts after the Enbridge fiasco.  Gee!!!!!! How are those gas contract prices doing?

I am pro-derivatives as they provide the most economical way for Commercials to buy insurance against price volatility.  The scumbag  TBTFs exasperate the volatility. Try capital planning long term with the TBTF parasites impacting your bottom line whether you are a residetial household or a major fuel consuming  multi-national corp.

Tue, 04/17/2012 - 10:24 | Link to Comment thedrickster
thedrickster's picture

The emperor calls for an immeadiate revision to the urban dictionary, crude will henceforth be coloquially known as White Gold since both are evil.

Tue, 04/17/2012 - 10:48 | Link to Comment WallowaMountainMan
WallowaMountainMan's picture

The War Machine called the USA that has benefited and continues to benefit big oil at the cost of thousands and thousands of lives of the 'disposable' american soldiers, while destroying uncounted families, and tearing gaszilions of dollars from the pockets from those that have the least to give, frames the context of this action by the current president.

I believe that "if one buys a 'commodity', that one must take physical delivery" is the base for fair pricing. Perhaps that is not sound theory, but to me, its just common sense.

Tue, 04/17/2012 - 11:11 | Link to Comment riphowardkatz
riphowardkatz's picture

what frames the context is a government debt that can never be repaid and appetite for ten times that amount more in government spending. This can only be paid by a tax. No one including your statist self would  accept the tax that is required so instead an invisible tax and wealth redistribution must take place. Unfortunately the people who understand this are typically not middle class but the uber wealthy. They are protecting their wealth by moving it into physical assets. In the mean time the people Obama is claiming to protect and help are being robbed blind or they are blind and therefore being robbed I havent figured out which one it is yet.

Tue, 04/17/2012 - 12:22 | Link to Comment WallowaMountainMan
WallowaMountainMan's picture

The existence of government debt is a larger frame that can be applied to all discussions nowadays about economics.

Do you disagree that requiring acceptance of delivery of a commodity is a fair way to establish the base for fair pricing for that commodity?

 

Tue, 04/17/2012 - 12:46 | Link to Comment Chump
Chump's picture

I don't agree.  I think that would make commodity markets incredibly illiquid and thus contribute to unnecessarily high prices across the board both in commodities and the productes derived from them.

Tue, 04/17/2012 - 12:46 | Link to Comment WallowaMountainMan
WallowaMountainMan's picture

Thanks for the thought Chump.

Is that because of how things are now or is that because my premise of requiring acceptance of delivery is fundamentally flawed economic theory?

Tue, 04/17/2012 - 10:59 | Link to Comment vote_libertaria...
vote_libertarian_party's picture

So he is going to end speculation???  Ohhhhh....that's why WTI is up today 2%...huh???

Tue, 04/17/2012 - 10:59 | Link to Comment kdrury12
kdrury12's picture

funny how in the oil markets we speak of the evil "speculators" as prices go up ... but we never praise the short-sellers for driving prices down.

 

Of course in equities, it's exactly the opposite.

Tue, 04/17/2012 - 11:13 | Link to Comment riphowardkatz
riphowardkatz's picture

not to mention the chief speculator extrodinaire Bernanke. BTW Obama shouldn't fret these prices are transitory.

Tue, 04/17/2012 - 11:20 | Link to Comment lizzy36
lizzy36's picture

CFTC did such a great job with MF global, they one should definitely have confidence in their OIL regulation.

Tue, 04/17/2012 - 12:23 | Link to Comment hyperbole2000
hyperbole2000's picture

Rescind the 1999 "Securities Modernaization Act" clause that allows TBTF banks to act as "Commercials".  Without them the real "Commercials" will restore the link to supply and demand economics that is lost when the TBTF banks take speculator action that no real "Commercial" would touch with a 10 foot pole.

Such an amendement was done with respect to natural gas contracts after the ENRON fiasco.  Gee!!!!!! How are those gas contract prices doing?

I am pro-derivatives as they provide the most economical way for Commercials to buy insurance against price volatility.  The scumbag  TBTFs exasperate the volatility. Try capital planning long term with the TBTF parasites impacting your bottom line whether you are a residential household or a major fuel consuming  multi-national corp.

Tue, 04/17/2012 - 12:44 | Link to Comment Chump
Chump's picture

Agreed.

Tue, 04/17/2012 - 14:34 | Link to Comment DrunkenMonkey
DrunkenMonkey's picture

Why is it a bad idea to stop people making leveraged bets on things (be they oil, gold, property or anything else) ?

Money up front or no deal, in essence (excuse the pun, if you speak french that is).

Sounds like common sense to me.

Tue, 04/17/2012 - 14:52 | Link to Comment reTARD
reTARD's picture

Oil, like all other socialist resources (heathcare, food stamps, etc), should be free!

We don't need to know where money comes from or where and how resources appear on our tables.

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