Obama did something about oil speculation.

[LoZoccolo]

[Solomon]

1. What?

[LoZoccolo]

2. He released barrels from the strategic oil reserve.

[scheming daemons]

3. Released 30 million barrels from the SPR... a direct hit to the heart of the speculators

Oil prices plummeted today as a result.


"Why isn't Obama doing something about gas prices?!?!?!?!" was the chorus a few weeks ago.



He just did something.

[Pab Sungenis]

4. About time.

Thank you, Mr. President, for some decisive action. Let's hope it helps.

[gratuitous]

7. Gas prices still above $4 a gallon

Not expected to come down again until after Independence Day, if ever. A temporary bump in supply is far less effective than a permanent decrease in demand. But them trains, buses and other mass/rapid transit stuff is all soshalistic, so we won't be seeing anything like that made part of a sustained, concerted effort.

[scheming daemons]

11. No, they aren't. They averaged $3.98 a month ago... $3.69 now

30 cents lower in the past month.

...and dropping.

[TBF]

15. I paid $3.47/g at a major name retailer today -

but it is always cheaper down here (Houston). I know my family in Wisconsin has been dealing with $4+ a gallon for awhile now.

[SoCalDem]

18. People have very short memories.. it was not all that long ago when $2 a gallon gas was an OUTRAGE

The oily devils have played us well... :grr:

[JoePhilly]

16. Huh .... ??? Paid $3.63 in NC today.

[NICO9000]

19. $3.75 today in the San Fernando Valley

How low can it go?

[MannyGoldstein]

8. That's much less than one day's worth of oil

It had some effect, but not a lot. Oil fell by about 5% today, but they've been falling for a while anyway.

http://www.cnbc.com/id/43513261">Tapping Oil Reserve Still Won't Lower Gas Prices Below $3

We need to stop speculators, now.

[scheming daemons]

9. Try it one time, Manny... "Obama did something good"... it won't hurt you to say it

This was a direct hit to the speculators.


It wouldn't hurt your rep as the most extreme Obama basher on the site to once in a while admit the guy did something right.

[MannyGoldstein]

14. It's a little better than nothing

But it's no great shakes, I don't think.

Do you have evidence that speculators were substantially hurt by this?

I await your evidence.

[CatWoman]

17. Manny - from LBN

Source: MSNBC

Thursday’s release of 60 million barrels of crude reserves is not about keeping oil consumers well-supplied. It’s about chasing oil speculators out of the market.

And it seems to be working.

“This is the straw that breaks the camel’s back — this is the tipping point,” said Fadel Gheit, oil analyst for Oppenheimer, a leading investment bank. “The speculators will have to change their positions. Instead of betting on higher prices they have to bet on lower prices."

Bursting the speculative oil bubble would also provide stimulus to a weak U.S. economy – at a time when both the Fed’s monetary stimulus and the government’s spending stimulus are winding down.

News of the oil release sent gasoline tumbling 14 cents a gallon in the futures markets. That’s the equivalent of about $56 million a day in savings at the gas pump — or about $20 billion a year, according to Peter Beutel, and oil analyst a Cameron Hanover.


Read more: http://www.msnbc.msn.com/id/43510170/ns/business-going_... /

[MannyGoldstein]

20. Some say the release caused the drop

Others say that it had little effect.

Gas is still way, way higher than a year ago. I guess we'll see what happens.

One way or another, what Obama and Congress need to do is outlaw speculation that hurts the 95%. But Obama and Congress seem unable to lift a finger if it inconveniences the 5%.

[MineralMan]

5. Pissed the Republicans off mightily, too.

Yes!

[bluestateguy]

6. And I believe he'll do it again too, if necessary

Anything to lower gas prices in time for the election.

[Pirate Smile]

13. They did say they might do it again - so the speculators can't assume they can run the prices up

again without knowing the Obama Administration may come in and cut their legs out from under them.

You know that scary Obama...he just might do it. :evilgrin:

[Nailzberg]

10. So the oil companies are getting back oil they already sold to the government, to sell again?

And I'm gonna pay 3.95 instead of 4.05, while they still take home billions.

[Pab Sungenis]

12. No, the government usually sells it directly to suppliers.

As a result the price of oil goes down.

It's a stopgap measure, but a needed one. Now we need regulation to help prevent future speculation.

[Warren Stupidity]

21. unrec for empty content.