Analysts: Govt Funds Heat Up Oil Prices

[Gman]

Source: AP via Yahoo

AP
Analysts: Govt Funds Heat Up Oil Prices
Sunday March 16, 2:42 pm ET
By Christopher S. Rugaber, AP Business Writer
Analysts See Sovereign Wealth Funds Playing Contributing Role in Record Oil Prices

WASHINGTON (AP) -- As oil prices charge past $110 a barrel, analysts say government-run investment funds from oil-rich nations may be adding speculative heat to an already red-hot market.

By placing bets in futures markets, these sovereign-wealth funds are no different than hedge funds, pension funds and other institutional investors, with one exception: at the same time they profit by trading "paper" barrels, their governments' oil companies also reap huge sums pumping black gold for consumers worldwide.

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While there is no public data proving that sovereign wealth funds invest in oil futures contracts, energy analysts say it's likely they're making financial wagers on oil -- and other commodities -- for the same reasons as other institutional investors: to take advantage of rising global demand and to cushion them from the falling dollar.

Read more: http://biz.yahoo.com/ap/080316/oil_prices_foreign_investment.html

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And here, my friends, IMHO, is where the Cheney Energy Task Force plans are coming to full implementation. I am convinced that the run up in energy prices in the last 3 - 4 years was planned out in every detail during Cheney's energy task force meetings. This is the reason even the Supreme Court illegally as well as immorally completely denied anyone access to any records of those public meetings. If the Cheney energy task force records ever went public and revealed that what we are seeing in energy prices now was fully planned by that task force, no one could save them. I believe this article is a peek into just how they are doing it. And of course, there is no trace.

Tin foil? You betcha. But plausible? Absolutely.

[madrchsod]

1. when 45% of this market is speculation

i`d say we are being had....no tin foil needed ,it`s a fact...

[WCGreen]

2. All it is is another financial bubble....

These bubbles use t occur once maybe twice in a lifetime...

But people are so enamored with wealth that they are creating financial bubbles at a rate of three or four a decade...

Dot.Com was foolowed by the housing which is followed by the oil while gold waits in the wing...

Everytime you hear about the nextbig thing, realize that there is a bubble blowing somewhere and it ain't where people are claiming what is the next big thing...

[spag68]

3. Sovereign funds

It would be foolish to think that the Saudis and the Dubai Princes and the rest are not contributing to this oil inflation. However at some point they will get out and someone will be holding the bag. IMHO when this june rolls around and nobody is driving. Somebody is going to be awash in oil. The worst part is that we are letting king george keep buying oil for the "national reserve" that is just plain stupid. I know it is wrong, but I want to tell them,OK now that we don't need your oil nay more, we want $1000 for this bushel of wheat, and also your corn chips are $50 a bag.

[Amonester]

4. China & India won't stop buying more and more oil.

Unfortunately, even if we'd all stop using that poison at once, they won't.

[fshrink]

5. This country is being ransacked. Plain and simple.

That was indeed planned and implemented in a fashion hybrid between a hostile take-over and a mafia-run operation. Serious clean-up will be needed to take us out the hole, morally, institutionally, economically,financially, socially and culturally.