Santelli: $4 Gas, $150 Oil Coming This Summer

[Soul Crusher]

Santelli: $4 Gas, $150 Oil Coming This Summer
NewsBusters ^ | April 5, 2010 | Jeff Poor

Posted on Monday, April 05, 2010 5:14:05 PM by Rufus2007

With summer driving season upon us, it's important to note that there's a traditional jump in gas prices. But will this seasonal adjustment benefit commodities, specifically oil and make the price of gasoline even higher? That could happen if those forms of energy lure investment from what seems to be an over-valued equities market, brought on by what some claim is cheap money.

On her April 5 program, "Closing Bell" host Maria Bartiromo asked CNBC's CME Group floor reporter Rick Santelli if a move higher in commodities was due to inflation. However, according to Santelli, it's not inflation but a move by investors out of a potentially over-valued equities market that will cause a rise in commodities.

"Well, you know, I don't like to link the two together," Santelli said. "I mean, many times you know, it is core [minus] food and energy. So I think throw all that away. I think the better question is, is that when people are afraid to put their money to work in treasuries, because rates may be going higher, maybe afraid that we are a little long in the tooth in the sugar-buzz rally of equities - boy, commodities is the place to be. Most of the good dollar trades probably already out there."

...more (w/video)...


(Excerpt) Read more at newsbusters.org ...

[24KT]

Santelli: $4 Gas, $150 Oil Coming This Summer
NewsBusters ^ | April 5, 2010 | Jeff Poor

Ron really needs to come up with a salivating emoticon for moments just like these.

[Soul Crusher]

Ron really needs to come up with a salivating emoticon for moments just like these.

China is now purchasing more vehicles than the USA. 

[24KT]

China is now purchasing more vehicles than the USA. 

I'm fine with that, ...I derive income from a huge growing organization in China.

[GigantorX]

I can def. see this happening as oil is probably the most manipulated market on Planet Earth.

This would 100%, without a doubt send us shooting for a new and deeper recession, in my opinion. 4 dollar gas when wages are stagnant/declining, people are trying to re-balance and with U.E. continuing to hover around 10%...this would be an utter disaster.

[big L dawg]

this has happened before....

[Soul Crusher]

this has happened before....

And remember what happened and what it helped spark? 

[big L dawg]

And remember what happened and what it helped spark? 

I think...the golf of tonkin resolution?

[Soul Crusher]

I think...the golf of tonkin resolution?

If you look at the time line $4.00 gas was sort of breaking point for many people and the economy. 

[big L dawg]

If you look at the time line $4.00 gas was sort of breaking point for many people and the economy. 

yea I considered purchasing a bicycle...So what the deal?Im assumin this is Obamas fault...

[Soul Crusher]

yea I considered purchasing a bicycle...So what the deal?Im assumin this is Obamas fault...

It will be the same way it was George Bushs' fault the last time. 

[big L dawg]

It will be the same way it was George Bushs' fault the last time. 

was it george bush's fault last time?

[Soul Crusher]

was it george bush's fault last time?

No.  And it wont be Obama's fault when it goes to $4.00. Its our entire nations' fault for allowing this mess to get so out of hand. 

Btw - Obama already said he wants gas to go much higher and the EPA already said that their plans will cause gas to go to $7.00 a gallon.  So when it hits $7 it will be his fault.   

[Option D]

No.  And it wont be Obama's fault when it goes to $4.00. Its our entire nations' fault for allowing this mess to get so out of hand. 

Btw - Obama already said he wants gas to go much higher and the EPA already said that their plans will cause gas to go to $7.00 a gallon.  So when it hits $7 it will be his fault.   

This has nothing to do with politics. My father has worked in oil for 30 years with Unocal 76 (oil company in california)The thing is this. With the prices at the pump. "They can, so they do". Point Blank. Oil companies make record profits. So it isnt Supply or Demand driven per se. Speculation drives up the price of oil. But there is one instance where supply causes an issue.  There hasnt been an oil refinery built in the US in about 30 years. Well because the environment people wont let it. Well when every single one is and has been running at 100% capacity for a long time. The supply cant get to the market which causes a drop in supply on the production end. The crude is there but the production cant keep up. And when there is a malfunction at a refinery, that refinery closes and boom...more supply issues.

[Soul Crusher]

This has nothing to do with politics. My father has worked in oil for 30 years with Unocal 76 (oil company in california)The thing is this. With the prices at the pump. "They can, so they do". Point Blank. Oil companies make record profits. So it isnt Supply or Demand driven per se. Speculation drives up the price of oil. But there is one instance where supply causes an issue.  There hasnt been an oil refinery built in the US in about 30 years. Well because the environment people wont let it. Well when every single one is and has been running at 100% capacity for a long time. The supply cant get to the market which causes a drop in supply on the production end. The crude is there but the production cant keep up. And when there is a malfunction at a refinery, that refinery closes and boom...more supply issues.

correctamundo. 

[big L dawg]

I remember when a reporter asked Bush about prices being over $3.50 a gallon he said he would have to check with his people & that he hadnt heard anything about gas being that price...He didnt even know what the shit was going for at all cause it was like three forty sum already...numbers might be a little off but that was the jest of it...funny stuff....

[24KT]

I remember when a reporter asked Bush about prices being over $3.50 a gallon he said he would have to check with his people & that he hadnt heard anything about gas being that price...He didnt even know what the shit was going for at all cause it was like three forty sum already...numbers might be a little off but that was the jest of it...funny stuff....

Doesn't surprise me in the least. that family is so out-of-touch with the lives of modern Americans it's pathetic. I remember years ago in the early 90's when his father GHWB was president, GHWB toured a supermarket, and was blown away and fascinated by the scanner at the check-out. He had absolutely no idea that grocery store cashiers would swipe a product over a scanner to ring up the price. At this point, grocery store scanners had been in existence for ages. That entire family is clueless & out-of-touch!!!

[Soul Crusher]

Doesn't surprise me in the least. that family is so out-of-touch with the lives of modern Americans it's pathetic. I remember years ago in the early 90's when his father GHWB was president, GHWB toured a supermarket, and was blown away and fascinated by the scanner at the check-out. He had absolutely no idea that grocery store cashiers would swipe a product over a scanner to ring up the price. At this point, grocery store scanners had been in existence for ages. That entire family is clueless & out-of-touch!!!

How about this gem Jag: 

[Soul Crusher]

How about this gem Jag: 

[GigantorX]

And the funniest thing is that gas/oil may skyrocket because of the "recovery" and its ever quickening pace. Is there any more demand and consumption of oil/gas? Or is it just "drawdowns" or "bigger than expected drawdowns" in supply?

U.E. still at 9.7%, stagnant/declining wages, less consumption and more savings. It will quite a tragic comedy when all this shit is still more or less with us and gas is $4.00 and oil is north of $125 on a huge and blistering U.S. recovery.

I mean, come the fuck on.

[24KT]

How about this gem Jag: 

He's the antichrist because he would have preferred a gradual increase that didn't hurt as many people as the sudden increase did? Or is he the antichrist because he tells you the truth about how his policies will impact the public? Would you prefer he instead lied to people like many of his predecessors have done? ...or would you prefer he not have a clue about the ramifications of his actions like his predecessor? Seriously 333386, it's time to get a new schtick. Your anti-Obama tirades have grown duller than day old douche water.