The Oil Price Conspiracy - Pawns & Kings

No doubt about the pawns in this internationalthe oil and finance companies.
game of chess. The general public, the six packThen there are the oil futures markets. The
majority, the middle class, the poor, come toInternational Petroleum Exchange of London was
think of it about anyone without a major financialone of the largest in the world but in 2001 a
interest in oil fits the Webster’s definition of acompany that had been formed just a year
pawn; “a person used to advanceearlier, a company called InterContinental
another’s purposes.Exchange (ICE), purchased it. How could one of
So if most of us are pawns who are the kings?the largest futures exchanges in the world be
Think about it. If you believe Congress, the newstaken over by a relatively unknown company?
media (at least the broadcast news media), theThe company was taken over by 13 equity
administration and the analysts you can pickinvestors when it began and the gang of 13 has
between the major international oil companies, oilmade ICE into one of the most profitable
producers, China, or the gas guzzling Americans.operations in the world buying and selling oil and
There is no agreement and it is almost as if thereother commodity futures. Who were the 13?
is no thought about it.Three of the largest oil companies in the world
The oil companies and oil producers are making– Royal Dutch Shell, BP Amoco and Total Fina
record shattering profits. Are they the only onesElf, two of the top investment banks on Wall
benefiting from the astronomical profits beingStreet – Goldman Sachs and Morgan Stanley,
made in the oil industry? Hardly! No the river oftwo of Europe’s leading financial institutions
greed flows in many directions including the– Deutsche Bank and Socit Generale, and six
financial houses underwriting the oil business andUS energy companies – American Electric
managing their money who also provide thePower, Aquila Energy, Duke Energy, El Paso
depressing analysis that seems to drive the priceEnergy, Reliant Energy and Mirant.
up every day.Now ICE claims over 300 companies are equity
So why aren’t the network news people orowners. ICE is doing what it is intended to do,
our elected representatives in our nation’smaking a lot of people and companies very, very
capitol asking questions about it? Americans haverich and ICE has no responsibility for what
reduced their use of oil. The inventories inhappens to the pawns at the other end of the
America are the highest in years. Future demandenergy network. Note that Shell and BP both had
is certain to go down with the 40% increase inrecord profits the 1st quarter of this year. No one
hybrid cars and reduced driving. Weather hasshould be denied the right to make profits, even
been warmer than normal thus reducing heating oiloutrageous profits, as long as they were made
demand. Every economic indicator says the priceusing fair business practices.
should be dropping, not rising to record highs.So what about the investment banks and financial
Where are the outraged congressmen, senators,institutions owning part of ICE? Could that cause
presidential candidates, governors and media, theany problem? It depends on whether these
so-called protectors of the people? Are they forinstitutions use their own analysts to try and
real? Or are they simply in the pocket of themanipulate the oil futures market and elevate the
kings of the oil profits, the oil barons of the 21stprice of crude oil. When an analyst specializing in oil
century? Well the campaign contributions seem togoes on TV and says the weather or war or the
indicate they have been bought off. So do theunstable economy in America is driving up the
millions of dollars being spent on advertising by oilprice of oil and we should brace ourselves for $4
related industries.a gallon gasoline, the oil price goes up.
The price of oil is set by two things primarily, theIf that analyst is from one of the many
policies of OPEC, the Organization of Producinginvestment banks or financial institutions owning
Countries, and the oil futures markets of whichequity in ICE, and their analysis sends the oil price
one of the largest is the London futuresin an upward spiral, then one wonders if a conflict
exchange. Saudi Arabia controls OPEC and Saudiof interest may be present. What is Congress or
Arabia has just said it will do nothing to reducethe FTC or SEC doing to check on the potential
the price of oil. Thank you and goodbye.for conflicts of interest between oil producers,
Of course Saudi Arabia is one of the primefinancial institutions and the futures market? Does
beneficiaries of the war in Iraq financed by theanyone even care?
USA at a cost to date of about $500 billion, yesWell hopefully when the presidential candidates are
500 billion dollars according to the Congressionalaccepting the millions of campaign dollars from
Budget Office. The same Al-Qaeda terroriststhese industries they are not making promises to
after us hate the Saudis even though Osama Bincontinue to ignore what is devastating to the
Laden is from Saudi Arabia. He says the SaudiPawns across America and the world.
kings sold out to us. More likely they sold out to