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« Media Blackout Of Nuclear War News | Main | High Oil Prices Due To Warmongering »



America no longer has real "liberals" or "conservatives". Would that
it did as conflict between competing philosophies is healthy !
It does have a hell of a great simulation of conflict with all the media
coverage of "elections", er crownings, but all the reality and stake
has been drained out of the system. It reminds me when my wife
and I stayed at a dumpy motel once out in the middle of nowhere
in the desert. The owner, to discourage theft or break-ins would
turn on all the tellys in the unoccupied rooms. The TV's were playing but no-one was listening.

We no longer have a liberal party nor a conservative one. We only have the One True Authoritarian Party. When the economic shit hits the fan, in order to segue into fuedalism we will have our
Machiavellians convert our laws into Christian Sharia.

larry, dfh

Isn't there a Caspian Sea Mutual Defense Agreement, which includes Russia? How will China react to a major source of oil being blockaded? Oil, apparently, will only be traded in $$.

Elaine Meinel Supkis

A number of consumers of Iranian oil get it overland. This is the ONLY reason the US took Afghanistan and hangs on there, barely.


Yes, Gary, politics has become pro wrestling. It only pretends to be a contest.


Perhaps these Iran war games are just elaborate tricks by Israel to help their oil speculator buddies make a FORTUNE.

Iran has an enormous supply of sunburn missiles that can sink a US aircraft carrier and overwhelm Israel so NO WAY will the REALLY be attacked.

Could be the real story here is unregulated trading on the ICE by a cutout company Philbro inside Citibank. Explains the Saudi investment therein.


"A Secret Oil Gusher Inside Citigroup


If you want to flush out market manipulation, don’t turn to the sleuths in Congress. They’ve been probing trading of the oil markets for two years and completely missed a company at the center of the action. During that period, a barrel of crude oil has risen from $50 to $140, leaving a wide swatch of Americans facing a choice this coming winter of buying food or paying their heating bill.

The company that Congress overlooked should have been an easy suspect. It launched the oil trading career of the infamous fugitive, Marc Rich, pardoned by President Clinton in the final hours of his presidency. It was at one time the largest oil and metals trader in the world. In the late 90s it bought up 129 million ounces of silver for legendary investor Warren Buffet’s company, Berkshire Hathaway, in London’s unregulated over-the-counter market. In 1990, it was one of the first entrants into an ill-fated Russian oil venture called White Nights. In 2005, while part of Citigroup, the largest U.S. banking conglomerate perpetually scolded for obscene executive pay, it handed its chief and top oil trader, Andrew J. Hall, $125 Million for one year’s work. According to the Wall Street Journal, that was five times the pay package for Chuck Prince, CEO of the entire Citigroup conglomerate that year and $55 Million more than the CEO of Exxon-Mobil.

Given this storied history and two years of congressional testimony on oil trading skullduggery, one would expect to find volumes of current information available about this oil trading juggernaut. Instead, this company’s activities are so secret that its web site (www.phibro.com) is a one page affair and lists only the addresses, phone and fax numbers of its offices in the U.S., London, Geneva, and Singapore. No officers’ names, no bios, no history, no press releases. And while the Wall Street firms of Goldman Sachs and Morgan Stanley have been fingered by Congressman Bart Stupak (D-Mich) for gaming the system, Phibro has completely escaped scrutiny during a seven year period when crude oil has risen an astonishing 697%. "

Elaine Meinel Supkis

And Citigroup is owned by...the oil pumping royals in the Gulf! DUH. They LOVE high prices!

Gads. It is too funny for words.


Regarding the miltary exercises: are they preparing for martial law? It seems possible (staged) attacks on the US, war with Iran, mass bank failures, and weather catastrophies are all at hand soon. If credit cards and ATM cards stop working because the banking system has to shut down for a few days, there will be chaos!

Elaine Meinel Supkis

Correct, alas.


That Pam Martens Counterpunch article is completely absurd. She provides zero evidence of any market manipulation. Basically her entire case is to invoke Enron a bunch of times. Truly pathetic.

She undermines her case explicitly by pointing out that Philbro brought in $2 billion for Citi. Oil doubles in price and this oil trading "juggernaut" can only bring in 2 billion by supposedly manipulating the global oil market? Any leveraged hedge fund could do better than that just by buying oil futures on the Nymex. More pathos.

The right wing in this country blames high oil prices on the evil environmentalists for blocking drilling wherever the oil companies feel like drilling. The left wing blames evil corporations for price gouging, market manipulation, or speculation. Meanwhile, both sides are going to make war on the evil Mooooslims, all the while ignoring Hubbert's peak as it has us for lunch. America truly deserves what is coming to it.

Elaine Meinel Supkis

Few people see all the aspects concerning oil. Note that I place most of the blame for high oil prices on US WARS and US OVERSPENDING on imports and government spending!

We are causing this. Totally and completely. We can stop this by ceasing our overspending. Period.


So Sargash, YOUR overwhelming evidence of the oil price naturally going from $20 a barrel a few years ago to OVER 500% MORE is ... wait...let me write this down... HUBBERT'S PEAK.

So Hubbert Peak says that when the peak is reached, the PRICE WILL RISE 500% in a few years? Especially when MEASURED DAILY SUPPLY OF OIL BARELY CHANGED AT ALL?

The printing and loaning of TRILLIONS OF DOLLARS could not possible matter, even when SPECULATORS NOW ACCOUNT FOR 70% of all benchmark crude trading on the New York Mercantile Exchange, UP FROM 37% in 2000.

Have you ever studied the FREE MARKET and how the marginal cost of production affects the market price? THE MARGINAL COST OF OIL IS $65 to $75 and in a free market the MARKET PRICES APPROACHES THE MARGINAL COST OF PRODUCTION DUE TO COMPETITION.

American foreign policy is DEFINED BY AIPAC AND THE STATE OF ISRAEL and does NOT DESERVE TO BE DESTROYED for the acts of TREASON committed for foreign agents.

WARS AND CONTROL OF OIL BENEFIT THE GLOBAL BANKERS and make the give them even more insane wealth and power by extracting tribute from American citizens.


WASHINGTON (MarketWatch) -- The price of retail gasoline could fall by half, to around $2 a gallon, within 30 days of passage of a law to limit speculation in energy-futures markets, four energy analysts told Congress on Monday.
Testifying to the House Energy and Commerce Committee, Michael Masters of Masters Capital Management said that the price of oil would quickly drop closer to its marginal cost of around $65 to $75 a barrel, about half the current $135.
Fadel Gheit of Oppenheimer & Co., Edward Krapels of Energy Security Analysis and Roger Diwan of PFC Energy Consultants agreed with Masters' assessment at a hearing on proposed legislation to limit speculation in futures markets.
Krapels said that it wouldn't even take 30 days to drive prices lower, as fund managers quickly liquidated their positions in futures markets.
"Record oil prices are inflated by speculation and not justified by market fundamentals," according to Gheit. "Based on supply and demand fundamentals, crude-oil prices should not be above $60 per barrel."

Speculators now account for about 70% of all benchmark crude trading on the New York Mercantile Exchange, up from 37% in 2000, said Rep. Bart Stupak, D-Mich., chairman of the investigations subcommittee. Stupak introduced a bill on Friday that would limit index speculation.

Ayn Whitehouse

Central control and regulation of commodities markets? Isn't that (big shudder now) Socialism?

Elaine Meinel Supkis

Actually, it is fascism.


OK Ayn, let's see if we can explain the difference between FREE ENTERPRISE and MONOPOLY CAPITALISM.

In Free Enterprise, there is a fair, competitive exchange of goods and services between all people and RULES AND REGULATIONS are fairly enforced equally for everyone.

In Monopoly Capitalism the largest companies work with the government to control ALL the exchanges so they can freely constrain supply to increase price and make enormous profits.

Let's take an example of Free Enterprise electricity. Everyone would be free to generate electricity as long as it conformed with basic rules and regulations for safety and the price would fall to the marginal price of production. If a coal power plant shut down in the middle of the summer for 'maintenance' and price rose from $0.05 per KWh to $0.30, millions of people would fire up their home generators and the price would drop to the marginal cost of generation of home generators which is $0.10 per KWh.

In Monopoly Capitalism, a few large organizations protected by government control the supply and can restrict by shutting down power plans to get enormous profits. California discovered this during the Enron pillaging.

Now let's look at unregulated and regulated commodity markets. Let's say Electricity is an unregulated market and the Chinese have 2 Trillion dollars. How would you feel if they purchased the entire future electrical generation capability of the United States and decided to keep it for themselves? They would lose some money but who cares? What if your mother was on a life support machine? She is now free to die.

Free Enterprise requires rules just like families and social organizations require rules. If you drop it, pick it up. If you dirty it, clean it. Fairly enforced to everyone.

John Rawls in A Theory of Justice calls this the Veil of Ignorance. What rule would you make if you had no idea if it would applied to your or the next person?

Let's imagine if there was a hypothetical country formed in the Middle East and they had a rule that Anyone Who Threatens Us At All Will Be Killed. This works great if they are the only one who this rule applies to. But with the Veil of Ignorance they do not know if this rule might apply to them AND other people. In that case, if they threaten their poor neighbors, they will be killed too.

If you think NO RULES AND REGULATIONS is so great, how about you try it with your children at home?

FASCISM at home is 'Kids, you are free to do what I want.'

Socialism at home is 'Kids, you are free to do what this best for everyone else.'

Free Enterprise at home is 'Kids, you are free to do what you want with the RULES.' Rules that are equally applied to everyone.

Socialism is when the GOVERNMENT controls the markets for THEIR benefit, Fascism is when corporations control the markets (via the government) for THEIR benefit, and Free Enterprise is when the markets are controlled by no one and freely entered into by everyone willing and the ONLY way to ensure this is regulation.

I realize that it seems like a subtle difference between controlling a market and regulation a market and these are EXACTLY the subtleties that are lost in the MORONIC discourse that passes for logic in TV land.

So do you see yet that the puppets in place in the two party (Judeo Masonic) system debate between FASCISM and SOCIALISM to the point that YOU BELIEVE they are the only two options.

And since socialism is even more destructive to Free Enterprise than fascism, you freely let the global corporations enslave the future of your children.

Elaine Meinel Supkis

Socialism has produced great ballet dancers and fine arts in the East. In the West, capitalism produces witless entertainments.

Gary W

Not WWIII. Everyone except Americans will call it "the American War", like they do in Vietnam now.

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