What person actually raises the price of crude oil?

Question

Some individual has to actually raise the price. It's not magically going up by itself

Answer 1

In a free market, there is a buyer for every seller, and a seller for every buyer.  It is that simple.  Nothing goes up forever.  Strengthening the dollar (tax control, and getting the Fed interest rate above GDP rate) will move oil's price down.

Answer 2

Speculators like hedge funds who can control large amounts of capital and other futures traders are mainly responsible for the rise in price now.

Answer 3

The person who raises the price is whoever is prepared to pay what the lowest priced seller is asking, rather than wait for the seller to to accept their bid.

OK, who's going round giving thumbs downs to all the people giving the correct answer on this thread?

Answer 4

Sheikh Yamani.(look him up in Wikipedia, very interesting)

OPEC?

It's not just a price on a screen. People, well companies are actually BUYING and SELLING the stuff.

Have you ever sold anything that you owned? How did you arrive at your selling price? Did the buyer give you the price you were asking? Or a lower negotiated price?

What mean bugger gave me a thumbs down?

Answer 5

traders

Answer 6

No "person" does it.  The markets do it via supply and demand.

Answer 7

Partly we do by being willing to pay the high price.

Answer 8

Every answer on here is WRONG. There is one person that is causeing the amount of dollars to be paid for oil to increase in price. His name is Ben Bernanke. Before him it was Alan Greenspan. The price of oil isnt going up. In fact it has stayed the same. The value of the dollar is going down because the Federal Reserve is printing too much money. The hidden tax called inflation is the effect of the destruction of the value of the currency. The money isnt worth anything and the market is putting a lesser value on it. Therefore as has occured thousands of times through world history, paper fiat currency becomes worth less and less and then finally becomes worthless. Gold and silver on the other hand have kept it ability to purchase oil at the same rate. see chart posted here. http://www.thedailygreen.com/cm/thedaily...  Barrels of oil in US dollars is the blue line. Barrels of oil in Euro Dollars is the red line and the purple line on the bottom of the chart is the amount of glod required to buy a barrel of oil.

As you can see the price of oil in termes of gold has remained the same. The dollar has fallen in value so it takes more dollar to buy the same amount of oil. This is a dollar value problem not an oil price problem. When people begin to understand that then they reilize why the Constitution only allows for silver and gold as legal tender in the payment of debts.

"The American Geological Institute Workforce Program has published an interesting analysis of world oil prices.

As we know, the price of oil has risen steeply. We pay more dollars for the same amount of oil. Those who purchase in Euros also pay more, though not as much as we pay in dollars. But if you compare the spot prices of oil to gold, there has been almost no increase.

As AGI wrote:

"The steep increase in the price of crude oil in the United States remains a headline issue, along with the falling US dollar. The drop in the dollar has caused concern in oil-producing countries which use it as the economic basis for the commodity, and often their currency. The chart below shows the spot market price of crude oil per barrel (BBL) in US dollars and in euros from 2001 to today. The price of oil has grown faster relative to the dollar than to the euro. Yet, a portion of the rise in oil prices is due to the fall of the value of the dollar. The graph also shows the number of barrels of crude oil per cost of an ounce of gold, demonstrating the parallel growth in commodity pricing.

"If the US dollar had remained strong in the global economy, oil might, in theory, be around $65 per barrel. However, oil is priced in dollars, and oil prices continue to rise. The impact of increased oil prices can not be ignored in the US economy, and, in turn, can further weaken the dollar. Resource economics is a complex feedback loop where today’s resource boom is driven by many external factors."

Republican longshot candidate Ron Paul has talked about how monetary policy, as much as energy policy, is behind inflationary problems like the run-up in oil prices." http://www.thedailygreen.com/environment...

Answer 9

The biggest "person" in the market is....The Fed

They are the ones who are controlling the free fall of the dollar. The value of oil has been staying constant. THE VALUE OF MONEY HAS NOT! The things of real value have been keeping their value and have been "telling" on the purchasing power of the US dollar. There is no inflation going on right now there is the fall of purchasing power.

There is flat out to much "money" in the system.

Answer 10

Sorry to disappoint you, but no one person can raise or lower the price of oil.

Oil is going up because there is a world wide demand for oil and the supply is getting limited.

Answer 11

invisible hand

Answer 12

View It Now    FinanceExtends (dot) com

Answer 13

bush of course to sell iraq oil