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Second Worst Hide and Seek Player Ever.



September 03, 2008 – Comments (0)

Demand destruction is a condition that basically means there is lots of oil, that noone wants. CNBC is reporting that demand destruction is behind this months lowering of crude oil prices. Demonstrating his business acumen, Bush appointee Samuel Bodman, who topped up the SPR tank by 3mil barrels between May and July at prices significantly higher than todays has decided, "Citgo will be allowed to pull 250,000 barrels of oil from the Strategic Petroleum Reserve because of its inability to secure crude in the aftermath of Hurricane Gustav". This action was chosen over checking Citgo's phone book to make sure they had the most up to date numbers for Total, BP and XOM who, as the law of supply and demand destruction suggests, should have excess barrels of oil noone wants floating aimlessly around the Atlantic.

Now, I won't be the last (just the most recent) person to suggest that partisan politics would play a role in manipulating the price of oil, by employing phrases such as "In the absence of a comprehensive policy, the Administration recently decided to use a key national security resource – the Strategic Petroleum Reserve – to address short-term price problems for political gain", or to believe that such manipulation might help an incumbant party. Neither did I suggest to a friend, panicing over the cost of filling his suburban in June, that he should wait until the election to sell his truck.

So the title of Second Worst Hide and Seek Player Ever goes to Citgo.

The title of worst Hide and Seek Player Ever goes of course to the entire Republican Bush admistrtion who are still unable to find WMD, while simultaneously losing 7% of our imported oil.


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