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Icelands volcanic eruption, a good thing?

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Discussion Club Moderator<br>Elite Member
Staff member
Oct 30, 2000
You're damn right that's not how it works. The "high" price of oil right now has nothing to do with demand, it's all speculation. So decreasing demand even further won't have any impact on price, there's plenty of excess capacity right now.

Speculators are seeing that the world is pulling out of the recession that drove the prices down.

As world demand heats up; oil consumption/demand will rise.

They are trying to get in the door first; same as what happened before - no one wanted to be the last one in line. A bidding war until the balloon burst.
Now it is who has the balloon.