This comes the London Telegraphy (5-27-08). " George Soros, the billionare investor, states that speculators are largely responsible for driving crude prices to their peaks in recent weeks and the record oll price now looks like a bubble."
"..ebbing Middle Eastern supply and record Chinese demand could expaim some of the increase in energy prices but the crude makret has been significantly affected by speculation"
He also warned that the oil bubble would not burst until both the US and Britian were in recession, after which prices could fall dramatically."
His conclusion: "Nothing will happen before the recession actually reduces the demand!"
Sounds like the cure might be worse than the illness!
Bill McInerney
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