21 August 2008

On the Topic of That Oil Bubble

About that oil bubble I was talking about a few months ago:

One trader held 11% of Nymex oil contracts: report

Hmmm...

I find it hilarious that almost all the big-wig economists around were proclaiming their was no bubble (e.g. Krugman, JDH). I think it was pretty obvious, as soon as NY.MEX futures volume exploded in February 2008 and the successively forward price of oil futures switched to all increasing rather than decreasing (as it was 2002-2007) that we were seeing some serious speculation games.

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