I have no doubt that the petroleum market is one of the [if not THE] most manipulated commodities on the planet - think Enron. You have to wonder if a lot of the volume isn't being traded back and forth between brokers just to artificially inflate the price. And, you have to wonder that if it costs less to produce a domestic barrel (shouldn't it?) why producers still get the global price for a home grown barrel. Well, I guess anybody can guess that. As for refineries, the majors have been wailing for years about the government regulations and red tape, not to mention the cost, of building any new facilities. They also like to cite how the public is 'NIMBY.' And I think that's BS. "Squeezing" the supply line helps to keep the price of their inventory inflated. Then again, if BP wanted to build within 10 miles of my home I'd cry NIMBY, as loud as the next guy.
Dave in Houston