Don't Blame Speculators

Speculators do not drive the price of oil up, this is non-sense. Politicians drive the price of oil up with their stupid behavior. Speculators play a vital role by looking out into the future and letting us know the likely future the politicians are creating. If there are factors which conclude there will be shortages or cost increases, speculators pay more and we pay more. This allows us to adjust our behavior in advance of the actual event which works to our advantage providing a cushioning effect as prices tend to rise more slowly rather than a sudden increase with no warning. clarlarc