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Strategies & Market Trends : The Epic American Credit and Bond Bubble Laboratory -- Ignore unavailable to you. Want to Upgrade?

To: mishedlo who wrote (71369)	10/7/2006 9:02:27 PM
From: Oblivious	Read Replies (2) \| Respond to of 110194

What is average America's per capita consumption of gasoline? It is closer to 2.3 % of their budgets than 8.7%.

To: mishedlo who wrote (71369)	10/7/2006 9:35:23 PM
From: russwinter	Read Replies (1) \| Respond to of 110194

One thought keeps nagging me. Lowering gasoline from 8.72 percent to 2.3 percent seems more than a bit extreme. Yes I have seen the explanation but I do not buy it. What I do buy is the idea that gasoline prices and commodities in general were due for a tumble, likely ready to fall on their own accord, but were given an extra push in the right direction at a time of maximum speculation and thus maximum effect. This is not exactly a conspiracy theory but not exactly Occam's Razor either. This was a hedge fund busting operation (the word conspiracy is just semantics, I like "manipulation"), and the impact of a successful one can not be underestimated. This one was a dandy, because as you say, the Riskloves/hedge funds were leaning too heavily. The primary motive was profit, but it also had the coincidental effect of pushing both the Treasury, stock, and energy markets where the "powers to be" wanted it to go.