"JoeSpareBedroom" wrote in message
...
"jps" wrote in message
...
On Tue, 20 Jan 2009 18:24:32 -0500, "Eisboch"
wrote:


"jps" wrote in message
...


That's what caused $4 gas, not supply/demand. Get an education
please.

Please explain the drop from $140/barrel to $34/barrel when the demand
tanked.

Eisboch

Concurrent with congress announcing that they were going to
investigate why oil prices were rising while demand was dropping and
supply was increasing.

That's not a commodity market. They were trading contracts as
investment instruments.

There were many investment banks and large funds investing in oil
futures that had no interest whatsoever in purchasing oil.

Do a little research and you'll find plenty of info...


If I recall correctly, Eisboch doesn't agree with that theory, even though
many experts in the oil business do.


I don't doubt for a minute that investment speculation drove the price up.
But the reason it became of interest to the speculators was still
fundamentally based in supply/demand.

It's like a huge, high gain servo system out of wack.. A small change in
input causes a much bigger change in output.

Eisboch