Pelosi blames Wall Street for spike in gas prices

[cal04]

http://thehill.com/blogs/e2-wire/e2-wire/212137-pelosi-blames-wall-street-for-gas-price-spike

Oil speculators, not a lack of domestic drilling, are to blame for the nation's rising gas prices, the top House Democrat argued Wednesday.

House Minority Leader Nancy Pelosi said unscrupulous Wall Street investors have artificially inflated prices at the pump, which are climbing toward $4 per gallon.

The California Democrat called on Congress to take "strong action" to rein in the allegedly excessive speculation, and accused Republicans of protecting Wall Street profits at the expense of consumers.

"Wall Street profiteering, not oil shortages, is the cause of the price spike," Pelosi said in a statement. "Unfortunately, Republicans have chosen to protect the interests of Wall Street speculators and oil companies instead of the interests of working Americans by obstructing the agencies with the responsibility of enforcing consumer protection laws."


Pelosi Statement on Rising Gas Prices
http://www.democraticleader.gov/news/press?id=2498

“Independent reports confirm that speculators are driving up the cost of oil, hurting consumers and potentially damaging the economic recovery. Wall Street profiteering, not oil shortages, is the cause of the price spike. In fact, U.S. oil production is at its highest level since 2003, and millions of acres have been cleared for additional development.

“We need to take strong action to protect consumers from this speculation. Unfortunately, Republicans have chosen to protect the interests of Wall Street speculators and oil companies instead of the interests of working Americans by obstructing the agencies with the responsibility of enforcing consumer protection laws. They have also repeatedly opposed our efforts to end billions of dollars in outdated taxpayer subsidies for oil companies enjoying record profits.

“We support efforts by the Obama Administration to expand domestic energy resources, including natural gas and renewable sources like wind and solar that create jobs in America and will end our dangerous dependence on foreign energy supplies. This can be achieved because today, the United States currently has more oil and gas rigs at work than the rest of the world combined, and imports of foreign oil have decreased.

“We call on the Republican leadership to act on behalf of American consumers and join our efforts to crack down on speculators who care more about their profits than the price at the pump even if these spikes harm the American consumer and our economy.”

(Nancy Pelosi on with Rachel tonight)

[Cali_Democrat]

1. Excellent tactic by Pelosi

Take the Republican gas price attack and turn it around on them. I'm sure Republicans are going to have steam coming out of their ears after listening to her statements. LOL.

[Ecumenist]

2. That's ecactly what I thought when I read of the spike is gas prices.

They're just using anything TO PROFITEER and GOUGE that average American consumer. Something has to be done to rein in these types.

[notadmblnd]

3. gtas was 3.19 in my area last Friday. Today 3.70

[sarcasmo]

6. 3.69 here in west Michiagn, up 30 cents from yesterday.

[notadmblnd]

7. it was 3.45 yesterdayhere in SE Mich

[Autumn]

4. Pelosi is 100% on the money

I'm sick of hearing these asshole saying it is Iran or lack of domestic drilling.

[sarcasmo]

8. Speculators screwing the populace.

[tularetom]

5. Although you don't have to be a Mensa member to figure that out

Pelosi is right on target with her comments.

I'd guess more Americans have come to the same conclusion than the republicans would like to admit. And I don't think too many people are gonna fall for the scam.

[cherokeeprogressive]

9. I call bullshit. The USA's #1 export in dollar value today is gasoline, diesel, and jet fuel.

"Just how big of a shift is this? A decade ago, fuel wasn't even among the top 25 exports. And for the last five years, America's top export was aircraft."

"In 2011, U.S. refiners exported 117 million gallons per day of gasoline, diesel, jet fuel and other petroleum products, up from 40 million gallons per day a decade earlier."

"There's at least one domestic downside to America's growing role as a fuel exporter. Experts say the trend helps explain why U.S. motorists are paying more for gasoline. The more fuel that's sent overseas, the less of a supply cushion there is at home."

"Refining companies won't say how much they make by selling fuel overseas. But analysts say those sales are likely generating higher profits per gallon than they would have generated in the U.S. Otherwise, they wouldn't occur."

http://www.usatoday.com/money/industries/energy/story/2011-12-31/united-states-export/52298812/1

That Pelosi blames "unscrupulous Wall Street investors" makes me wonder how much of a stake she has in exporting refined petroleum products. She was one of those fingered in congressional insider trading, and defended her actions by saying she did nothing "illegal".

I don't believe a fucking word she says.

[ProfessionalLeftist]

10. $4.00 here already (premium), regular $3.69

[Oasis_]

11. Once again, Pelosi is clueless

Speculative bubbles are inherently short term phenomenons as it pertains to commodities if there isn't real, tangible demand to fuel them. All of the data we've seen suggests relatively weak global demand.

Are speculators pushing up the price in the very short term? Absolutely, but Middle East turmoil is the driver, however it isn't sustainable. Just as in July '08 when per barrel pricing hit $ 147.00, a mere four months later the bottom fell out.

These costs ensure increased production in order to maximize profits, but then (as they always do) market forces will take over and the speculators will take a bath.

Pelosi isn't stupid. She knows this, but is employing it as a political tool to incite anger. A pretty scummy tactic, if you ask me.

Oasis