Would gas prices really fall by nearly half in 30 days if oil speculators were more regulated?

Question

Are the Wall Street traders really contributing so significantly to our economic woes? If so, why is it tolerated?

http://biz.yahoo.com/cnnm/080623/062308_energy_speculation.html?.v=4

Answer 1

Perhaps if they uncapped the wells here in the states we wouldn't have to be nearly as dependent on foriegn oil. Here's a link:

http://www.globalresourcecorp.com/Applic...

Answer 2

No. They would not fall that fast and maybe not that far. The way to get control of the speculators is to do something that will make them bet that oil prices are going to go down instead of up. They will then bet (speculate) on lower prices. If we decided to open our reserves or drill in ANWAR or take the gas tax off, they would then have to bet that they would go down. IT really is that simple

Answer 3

Its like a bidding war anywhere, one can not stop the participants if they are caught up in it. What you can count on is that some are now making puts instead of calls on the trading floor meaning that they are betting the price will fall. And people are seriously cutting back on their gasoline usage which can affect the prices very quickly. When the suppliers have more gas than they can sell, and the tankers are backed up in the lightering areas in the Gulf of Mexico, it means the petroleum plants have no place to put any more oil and therefore can not buy more.

This is just like the internet bubble circa 2000. It will burst and prices will fall. The good ole boy network of the oil business has determined that it is worth drilling here if oil remains over 40 dollars a barrel. We are way over that and paying it to foreign countries. Think about it.