Wednesday 9 March 2011

Speculators, Energy Traders Betting Big on Regional Crisis | Arabianomics

Colin Barr at Fortune discusses the reckless speculation that continues to drive the price of oil up, and may push gas prices to a point where they have a negative impact on the US economic recovery.

Barr:

“The surge of speculative money into the oil futures pits shows that big financial players are expecting the price of WTI crude to surge well above the recent $105 or so seen last week. If they are right, it will bring $4 gasoline a step closer.

That will not be good news for most consumers, though it could help some big energy traders score big paydays, thank goodness. You would hate to see the talent fail to get its due.”


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