Barack Obama Now Believes Oil Prices Are "Too High," Moves to Curb "Speculation"

Apparently, the markets, working in collaboration with millions of players, transactions, and interests have resulted in the 'high manipulation of oil prices,' according to Barack Obama. With zero economic or energy experience, the President assumes that he and/or Department of Energy know more about the price of oil than the market participants.

Fortunately, traders at the CME in Chicago aren't taking these intrusive regulatory proposals lightly.  One trader noted that the same mechanism that pushed oil prices up has brought natural gas prices down to ten year lows.  He added that perhaps the President should look at his energy policy for guidance as opposed to how he thinks prices are determined.

Price is determined by supply and demand, therefore, I would like to pose three questions for the Obama Administration.

1) What do you think is the appropriate price for oil and why?
2) Do policies that limit supply or the distribution of supply like the Keystone Pipeline determine price?
3) What supply and demand factors will change as a result of the policies you are proposing.

By the way, for those of you who believe oil is being speculated, please check out a recently revised article posted originally from 2008.