President Obama went after Oil Speculators today Over rated Oil Speculation has been the problem all along and most people have known it, and actually wonder why the President has not done something sooner than this. However the White House said today that the president has already taken significant steps to increase the oversight of oil markets and close dangerous loopholes that for too long allowed energy traders to operate in the shadows. The White House said that early on in the Administration The Commodity Futures Trading Commission (CFTC), moved to close the Enron and London loopholes which previously allowed traders to evade oversight by using electronic and overseas platforms. They also said they are dealing with wall Street Speculators and manipulation of oil prices.
However the prices continue to increase, and that threatens the continuing economic recovery, which is already showing signs of strain. That strain according to some economists is directly related to surging oil prices. Already, Speculators are projecting increased Gasoline Prices by Memorial day up to 4.67 per gallon.
The President introduced a five-part plan:
1. Requesting immediate funding to put more ‘Cops on the beat’ overseeing oil markets
2. Funding critical technology upgrades in the oversight and surveillance of Energy Market Activity.
3. Substantially increasing Civil and Criminal penalties for manipulation of Key Energy Markets.
4. Empowering the CFTC to raise margin requirements in oil futures markets.
5. Taking immediate steps to expand access to CFTC data to better understand trading trends in Oil Markets.
I won’t go as far as to say that this is the solution to the problem. The president has indicated that he will need the backing from Congress, to get the situation under control. But, I personally do not think he will garner much support there. After all, these people have made it clear over on the Republican aisle that they do not want to do anything that would get this President re-elected.
However, the power of Executive Order, in the interest in what is best for this country and its continued economic recovery can have some serious impact on this persistent artificial inflation of oil prices.
So, I support President Obama on this matter, and would urge readers to do the same. Contact the White House and voice your support. For once, put political differences aside and lets all do something that is not only good, but important for this country.
Thats my point of view, and I look forward to yours.
Have agreat day and as usual……….God Bless America!