Well, just the idea that the United States may be drilling our own oil & gas, for a change, has caused a significant 3 day sell off in the oil futures market--(ever since P. Bush lifted the ban on off-shore drilling, 3 DAYS AGO). Even though democrat house leader Nancy Pelosi & democrat Senate majority Leader are not supporting, & are fighting the bill tooth & nail. Just the thought--that this bill is getting major support, is sending oil futures down. 74% of Americans, including democrats & republicans support drilling in our own country & off shore, has apparently stopped the upward momentum on the price per barrel, & looks to be going into a nose dive. Hopefully, Obama who is opposed to off-shore drilling takes notice on how "free markets" WORK!

Along with that, demand has been dramatically reduced for heating oil & natural gas. One oil analyst stated that the last 3 days have been so dramatic it may be entering a BEAR market phase for oil & natural gas!
YEAH! 50 day moving average has been broken to the downside.

There's only two emotions in our markets--"Fear & Greed"--it looks like the fear part has finally taken over. It's fear of us FINALLY drilling for our own oil & natural gas. And our financial & stock markets are finally rallying.

Not to confuse anyone. I am all for renewable green energy, hybrids, wind & solar. But, again to be completely independant from OPEC & some foreign countries that hate us, it's time to drill right here. We will always have need for natural gas & some oil. YOU can help by contacting your senators & congressmen. Tell them to pass lifting the ban on drilling. Hold them up to their decades old promise of getting off foreign sources of energy, once & for all.

I think you may be letting your politics influence your market analysis here.
US inventories of gasoline and crude are rising, based on lower US demand.
Prices are based on now, not on speeches about 10 years from now.

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“ The subjects of every state ought to contribute towards the support of the government, as nearly as possible, in proportion to their respective abilities; that is, in proportion to the revenue which they respectively enjoy under the protection of the state.”

Adam Smith , The Wealth of Nations 1776

"We have always known that heedless self-interest was bad morals; we know now that it is bad economics"
FDR's second Inaugural Address

Yeah, and also NPR reports that Saudi Arabia has announced much lower demand than expected for its products.

The "futures" market means exactly that. What will the price per barrel be 1 month from now to 5-10 years from now, (or in the future).

The future of drilling our own oil & natural gas is gaining support. Speculators who bought say a 1-10 year futures are selling out over the last 3 days based on support of putting more supply into the market or in the "future". Because of the very good possiblity we will be drilling off shore on the continental shelf & within this county.

This is why speculators are bailing out on the "future" price per barrel of oil, sending the price per barrel in a nose-dive over the last 3 days, or since President Bush lifted the ban on off shore drilling.

You're right I do have extensive knowledge in the futures market. I also understand how supply & demand, & yes politics affects the futures market.

I thought I mentioned that?? So lets agree that the market is getting "squeezed" from both directions. Demand is lower--but the drop has come during the last 3 days, directly after Bush announced lifting the ban on off shore drilling. We have known for a few weeks that demand has been lower, & the price again was driven up by speculators in the "futures" market.

That should tell you something?

The speculators in the oil futures market who have bought & paid for the FUTURE price per barrel are getting a little worried, & are selling out their positions simply because they FEAR that the United States will be putting more supply on the market.

The furthest out the NYMEX goes is 36 months for oil futures.
And futures key off the spot market, not the other way around.
Prices are falling due to decreased demand and increasing inventories.

Not due to speeches that have been given over and over again over the years.

__________________
“ The subjects of every state ought to contribute towards the support of the government, as nearly as possible, in proportion to their respective abilities; that is, in proportion to the revenue which they respectively enjoy under the protection of the state.”

Adam Smith , The Wealth of Nations 1776

"We have always known that heedless self-interest was bad morals; we know now that it is bad economics"
FDR's second Inaugural Address

You seem to speculate that is the only reason.

In reality, there are a number of reasons why bubbles such as this one pop.

It's not even clear yet that this one has popped.

You are incorrect--this commodity is traded "all over the world"--there are 5 & 10 year contracts for oil futures. For an example: SouthWest Airlines is the only air-line that is actually keeping their head above water, because ages ago they bought $50.00 per barrel oil contracts. Decreased demand was announced over 3 weeks ago. That did nothing to the oil futures market, in fact the price per barrel kept going UP due to speculators in the market, bidding on future contracts.

Again, while we all agree that we want to go to green renewable energy, we will always have need for natural gas & our own sources of oil. Our airplanes are never going to be electric powered, we will always have to heat our homes in winter.

Being an electrical contractor also, I have experience with solar as we install & power up homes with it. The solar systems today are not capable of heating someone's home without another source, such as wood burning, which I know you wouldn't want. So natural gas is still the cleanest option we have.

By your comments, it appears to me you really do not want to get off foreign sources of oil & natural gas, or you're just doing the same ol political partisan B.S.

DEMOCRATS IN CONGRESS--just now, VOTED AGAINST THE DRILLING BILL. Therefore the bill did NOT PASS. Now we can expect the price per barrel of oil to head to NEW HIGHS driving up the cost per gallon of gasoline.

THANKS YOU IDIOT DEMOCRATS, for trashing our financial & stock markets & our economy!

Financial ruin is upon us, oh cursed Democrats! Tomorrow I will pay $4.52 instead of $4.44 per gallon!

Lo, our wickedness is reigning divine retribution upon us! I could have bought half an ice cream cookie with the savings! Damn you Democrats! Damn you to hell!!!!

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"Government big enough to supply everything you need is big enough to take everything you have... The course of history shows that as a government grows, liberty decreases."

-Thomas Jefferson

The Democrats voted for the bill, the Republicans voted against it, it failed because it needed a 2/3 majority because it was fast tracked.
But Bush had promised to veto that bill anyway.

__________________
“ The subjects of every state ought to contribute towards the support of the government, as nearly as possible, in proportion to their respective abilities; that is, in proportion to the revenue which they respectively enjoy under the protection of the state.”

Adam Smith , The Wealth of Nations 1776

"We have always known that heedless self-interest was bad morals; we know now that it is bad economics"
FDR's second Inaugural Address

What's the HR# for this bill? I'd like to look it up.

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Congratulations President-Elect Obama

President Bush was the one who lifted the ban, what in the "heck"??? What did they do add a zillion dollars in pork barrel spending to it, that has nothing to do with energy, drilling, wind, solar or other?

For some reason that wouldn't surprise me at all.