May 5, 2008
Recent news stories about the high price of gasoline have shown that, in the U.S. supply is up, demand is down and prices are on the rise. Why? Speculative investing! Investors are taking their money out of the failing real estate market and parking it in the commodities market - buying oil and oil futures. This has driven the price at the pump up to unprecedented levels as Wall Street looks for the next big windfall. We can expect the housing bubble collapse to be followed by an oil bubble collapse, which should happen soon, as the entire economy is put under more and more stress and people buy less and less.
May 5, 2008 at 8:53 am
Yuck, the bubble bursts and all that black gooey stuff will fly in the air and make a mess!
Never ends does it?
Kyle
May 5, 2008 at 12:43 pm
It’s the same story here in England. Petrol prices are soaring and may soon hit £5 a gallon according to some sources. I’ll have to buy a bike - much healthier and cheaper! Nice blog. I followed your link from my friends Kyle & Svet’s blog.
May 8, 2008 at 8:10 am
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May 8, 2008 at 9:13 am
They say the oil bubble is going to reach $200 a barrel.
What a mess that will make when it pops!
Kyle