We are been Duped Everyday: Oil Market Manipulation Is Far Worse

[marcojuiceman]

So how this affects the average Joe is that if Wall Street is having a good day, i.e., fund flows are going in, then Average Joe is having a bad day and paying more for Gas. Yes, it is that simple. A good day for Wall Street is a bad day for consumers at the pump these days as Capital flows into one big Asset Trade: Risk On!

So how long will it take politicians and the CFTC to address this manipulative practice that is a decade in the making in the Oil Markets? My guess is it will just continue as usual because regulators and politicians are either corrupt or incompetent to address the issue and consumers are too busy working their ass off to even have the time or energy to revolt against this practice.There isn`t a “Gotcha” moment like Libor Gate, rather just a slow steady business practice that drains consumers of their resources like just another societal Tax on their consumption. A repugnant tax I am calling attention to: the “Gotcha Bells” should start resonating in policy holders’ ears, and they should finally start addressing this seedy Oil Market and its blatant Market Manipulation of Price.
Read more: http://feedproxy.google.com/~r/EconF...#ixzz219qyMtpM

[EmpireMaker]

This is one of the biggest issues associated with Americans getting ripped off by the oil companies (directly and indirectly). When investors have a buying frenzy on gas and oil futures contract the prices of those contacts go up and up and up. When this happens the oil companies go ahead and immediately pass these increases on to us the consumers. Which means the oil companies are paying a price to to purchase and produce oil and gas based on supply/demand of the commodity or their cost of production and they are charging us an artificially higher price which is based on the demand of futures contacts which investors are gambling on (and have no intention of taking delivery on). The result of this is, huge amounts of money draining out of consumers and businesses pockets and going straight into the oil companies coffers. What do the Bush family have all of their family money invested in ? Who created this environment ? When that nutjob Michelle Bachman said she could promise a drop of $1 a gallon when she was trying to be a candidate for president, outlawing these futures contracts had to be how she planned on doing it (I believe Gingrich made the same type of statement too). This is absolutely the first step that needs to be taken to start our country on the road to recovery.

[ProfaneReality]

less regulation is the answer, right repubes ?

[EmpireMaker]

Outlawing derivatives on oil and gas is the answer to this issue.

[QuantumLeap]

I remember when I was playing the market back in 2009. I bought a gas fund and put in a stop to prevent losing too much. A stop will sell the stock if the level gets to that point.

The price of gas spiked down causing my stop to sell my stock and then promptly spiked up. Manipulation will spike prices like this so there is more stock available for the manipulators.

[jjgold]

All chart reading

Of course they play games with prices, it will go up some more and then drop

All trends and charts

[rkelly110]

Did you learn from that quantum? It's real easy for market manipulators to see where stops are.
If there's a lot at a certain price, they will sell to bust those stops and rake it in after that.

Either don't use stops or keep them out harms way.

[CarpeDime]

liberals

[Shafted69]

financial terrorists

[QuantumLeap]

Did you learn from that quantum? It's real easy for market manipulators to see where stops are.
If there's a lot at a certain price, they will sell to bust those stops and rake it in after that.

Either don't use stops or keep them out harms way.

Yeah, I quit trading in gas stocks. I didn't have the time to watch the price all day so I didn't feel comfortable trading without stops.

[PickWinnerAllDay]

Gas prices can go to 7 bucks a gallon for all I care. Not bringing my car with me.

[Waterstpub87]

Outlawing derivatives on oil and gas is the answer to this issue.

That is a great idea. All of those companies who use derivatives to hedge risk can now just price those risks and pass them onto the consumers. That will really drive down prices.