Korean Job Discussion Forums

bassexpander · Joined: 13 Sep 2007 Location: Someplace you'd rather be.

I got this from Northwest Airlines today:

sojourner1 · Posted: Thu Jul 10, 2008 6:48 am Post subject:

I just received it too.

t's about time someone high up does something about this corruption. President Bush did the oil tycoons a favor by deregulating financial markets speculation while acting like he was questioning their historically high profits. It's time the situation is put into check and those responsible are held accountable. If not, then expect a sharp downturn leading to a crash beyond what we thought was our worst nightmare.

I wonder how the new administration and markets are going to deal with the mess Bush has left us? The damage has been done and will just proliferate into a situation no one wants or needs.

sojourner1 · Posted: Thu Jul 10, 2008 6:48 am Post subject:

This site is broken, it fails to load right and then double posts.

bassexpander · Joined: 13 Sep 2007 Location: Someplace you'd rather be.

You're beating on Bush, yet providing no proof or links to back up your claims that he is responsible.

Oil speculation has been around since long before Bush, and I haven't heard a peep about him "deregulating" it. Links, please?

As you can read here, there is concern that if the US regulates oil speculation, then the trading will just take place overseas:

http://money.cnn.com/2008/06/24/news/economy/oil_legislation/?postversion=2008062413

bobbyhanlon · Joined: 09 Nov 2003 Location: 서울

would be nice if it were true, but its not. people love a scapegoat and spivvy wall street and city of london types are pretty good ones at that.

the oil market is far too big for a few hedge funds to 'corner' it.
there will be daily movements in oil futures- up and down- due to speculation but the speculative flows are ultimately driven by fundamentals, ie. supply and demand. if, as they claim, the price of oil were artificially driven up $30-60 purely by speculation, then many speculators would immediately sell the heck out of oil in expectation of a reversion to a more sensible price. besides, these days the trader mentality about oil is 'sell it, its done', rather than 'keep buying'.

the price of rice has shot up like crazy in the last year, and there isn't a rice futures exchange. this is something which is threatening the very survival of the poorest people in places like the philippines, and so in my opinion is much more serious than the oil price for americans who want to 'take the kids to see grandma this summer', as the website says. other commodities too have shot up just as much as oil, and nobody is complaining about speculation in those.

oil has been driven up by a lack of supply, and the rise of china and india. the rest is just noise. and its entirely ridiculous for the airline industry to complain how this is hurting them, since the entire industry in america has actually cumulatively lost money since it got started, and been littered with bankruptcies in times of both cheap and expensive oil. if they ran themselves a bit better- and been smart enough to hedge their fuel costs- they wouldn't be in this mess.