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Not everyone buying oil is a speculator in it for the short haul. A lot of people are buying it up to offset the rape at the pump. Also, your money is safer parked in oil than under your matress. The "core" inflation numbers don't factor in energy costs, and are therefore cooked. The Fed only wished it could devalue oil as much as greenbacks. I guess Ethanol is starting to do that.
All the Democrats who are lashing out at speculators and short sellers for the economy and gas prices have their heads way up their asses. It's merely a symptom, not a cause. Gas is expensive because:
1. The dollar is weak, thanks to ridiculous borrowing and entitlement welfare spending that has dwarfed even the bill for the Iraq war.
2. Increased demand from indo-china. (Europeans are throwing fits over gas prices too)
3. Ridiculously high emission standards requiring additional processing and additives which cripple BTU output.
4. Taxes.
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