Dean Henderson: Speculators, Cartels and Myths of Scarcity

Last week President Obama stated that we must accept a new reality: Demand for oil will always exceed supply. Of course, his statement was music to the ears of the Rockefeller/Rothschild energy cartel and tax-dodger oil traders. Both know full well that oil companies pay around $18 per barrel to get crude out of the ground. Big Oil rings up its usual quarterly record profit, speculators led by Goldman Sachs and Morgan Stanley tack on another $50/barrel and we still are gouged at the gas pump. Governments tighten their belts, economies contract, and the "myth" of scarcity encourages a race to the bottom for the global masses, along a historical concentration of power and wealth by the well-fed and fueled global elite. A day after Obama's endorsement of concentrated corporate power and casino capitalism, the US Department of Energy reported that the main US oil stage depot at Cushing, Oklahoma was holding 41.9 million barrels of crude oil, very near its capacity of 44 million barrels. In other words, the US is awash in crude oil. In South Dakota, the USDA announced that farmers plan to plant an additional 850,000 acres of corn - the most since 1931. According to the same USDA report, US wheat ending stocks for 2010/11 are projected higher this month on reduced export prospects.