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.
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