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There seems to be much confusion as to why the price of oil is rocketing higher. Has anybody considered that maybe it isn't the oil which is getting more expensive, but maybe the dollar is becoming worthless? USD at 79.18 and I am fairly sure it is at an all time historical low.

I guess not everybody is concerned with the value of the dollar, but something tells me Bernanke is watching it ... and closely; something about the Federal Reserve's charter; to uphold the integrity and value of the dollar.
 
awgee....do you think it has anything to do with the sabotage/destruction of those pipelines in Mexico the other day ? Small supply issue ? Probably just a blip on the screen, but maybe ....just maaaaaybe it gave them a "reason" to pump up the price.
 
Sarge - Truthfully, from what I have read, the destruction of those pipelines, although disturbing, will not affect supply. Who knows?
 
You know, in watching Kudlow, Cramer....CNBC commentators, et al.....they all seemed to be trying to bully the Fed into a .25 rate cut for the past few weeks. Making it sound as if he didn't cut, he's a fool, etc.

NOW, the tune has changed to a .50 basis point cut....or he's a fool. All saying now ".50 has already been figured into the market"...."If he doesn't cut .50, and only cuts .25, there is going to be a massive sell off"...yada, yada, yada. I'M GETTING SICK OF HEARING IT !

Has this type of "pressure" ever been so vocal and constant ? I've not followed the market this closely before, so I don't know. It seems like they're acting like school yard bullies....or they're scared to death he doesn't cut. Or perhaps, both. Either way, sheeple are hearing this loud and clear, over and over again. If Ben doesn't cut (for the previously stated reason of trying to control inflation), aren't sheeple going to think he's an idiot and lose confidence in him ? Just curious what your thoughts are.
 
They lobbied him pretty hard going into the May 2006 meeting, and he raised rates. It prompted a selloff on Wall Street. Although I have never seen it be quite this obvious and intense.

I am still of the opinion that they will not lower rates, but I appear to be in a very small minority on this one. When you look at the weakness of the dollar, any lowering of interest rates is going to cause the dollar to drop and inflation to rise. I don't see how Bernanke can do it.
 
It pisses me off so much that Wall Street has already price rate cuts into the market.

Bernanke better not feel bullied into lowering the rate to meet expectations.
 
The dollar fell to a record low against the euro today, ‘cause investors are waiting for Ben to cut interest rates next week. That puts the euro at an all-time high above $1.39. And, unlike the Fed, the European Central Bank is likely to increase rates again after leaving them at 4 percent last week.
 
I spoke too soon?

"Crude futures touched $80 a barrel for the first time ever on the New York Mercantile Exchange. October crude was last up $1.58, or 2%, at $79.81 a barrel. The Energy Department reported Wednesday that crude supplies dropped 7.1 million barrels, and motor gasoline inventories have been falling for six weeks in a row."
 
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