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Boehner’s Hole-in-One for His Big Oil Buddies

Speaker Boehner plans to discuss gas prices today at his weekly press conference, but we’ve seen his scorecard before. The GOP’s “none of the above” drill-only plan does nothing to reduce the pain at the pump America’s middle class families are facing now, but it’s a hole-in-one for Speaker Boehner’s Big Oil buddies.

Does Speaker Boehner realize that domestic oil production last year was at the highest level since 2003 – higher than during most of the Bush Administration? The GOP drill-only energy plan embraces the failed policies of the past and does nothing to reduce the pain at the pump American consumers and business are facing now.

Also, Wall Street speculators are playing a large role in and benefiting from spiking prices and the GOP “So Be It” spending bill slashes funding for the agency with oversight over commodity markets:

Fortune – Speculators double down on oil:

Ready for higher oil prices? Wall Street is.

Big traders are betting the ranch that oil prices will keep rising, testing the pain threshold of an economy that is not exactly setting records as is…

The speculative fervor is so remarkable that the big trading firms now have nearly twice as many long contracts open as they did in 2008, when oil spiked to $147 in the summer, a development that either foreshadowed or caused the global economic meltdown, depending on how you look at it.

CNBC – Oil Price Surge Gets Push From Record High Speculation:

Speculators have set a new record for making bets whether the oil will continue its surge, a trend that some market experts believe could push the commodity even higher…

“Speculators are having a huge effect on the market,” said Darin Newsom, commodities analyst at DTN in Omaha, Neb.

Instead of offering solutions designed to reduce our dependence on foreign oil and protect consumers – the Republican “So Be It” spending bill cuts funding for clean energy to spur innovation and create jobs and slashes the Commodities Futures Trading Commission (CFTC) – the agency charged with oversight of commodity markets, including oil – by nearly $57 million.

According to the CFTC, under the Republican “So Be It” spending bill cuts, they would be forced to eliminate about 2/3 of their personnel, which would undermine the agency’s ability to effectively monitor the energy markets for fraud and manipulation, which could lead to higher oil prices.

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