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Originally Posted by DarkWizard12  most people want oil drilling. could be a ploy really. Since bush lifted the ban and american's current attitude toward drilling right now, this could be contractors scamming for money.
Don't overestimate american's judgement. We were given Bush twice afterall. |
As I understand the drop, it was due to a massive sell off of contracts, many of them from banks that had huge amounts of securitized mortgages. Essentially they sold off profitable energy contracts to raise capital to merely survive. With such a massive sell off (who can blame them given the string of banks that went under this week), prices are obviously going to drop. Coupled with a large sell off from people who believe that oil has reached its peak price, well you saw the numbers.
What will be harder to find is if financial hedging has moved to another commodity.