One little report of disruption of 1% of 1% of the world oil supply and prices rise. Looks to be a bit of a media driven game. Those who are not our friends are profiting handsomely with every little "crisis".

We should add a tax every barrel of oil to make sure the price does not fall from these highs. Only of we make it expensive enough, for long enough will be wean ourselves off the stuff.

With enough nuclear and clean coal power - we can tell them all to go pound sand. And when the price falls next time, we should not fall into the same trap of $1 gas.

I strongly agree with that. We should have a tax on oil, especially on foreign oil.

It's what I call the "ratchet effect". Any bad piece of news causes the price of crude to rise. Any good news, or news that previously-reported bad news isn't so bad is ignored.

A pipeline is shutdown somewhere? Instant $5 rise in the price of a barrel of crude.

That same pipeline reopens? Nothing.

This is how I know the price has become decoupled with supply and demand: markets are only responding to one kind of news (bad) and prices are only moving in one direction (up). This is EXACTLY the kind of thing that happened when there was a speculative bubble in dot coms and then housing.

I think I agree with MRM here, at this time. Gasoline and all petro-energy prices in EU and ROW have been much higher than North America historically, as our huge volumes and a strong dollar gave the US a lot of leverage in world markets, OPEC notwithstanding. IOW, we were subsidized by everyone else in fuel pricing for decades.

NOW, we have emerging third world usage (China, India, etc.), a very weak US dollar, and waning US influence in these events. The result? Our price gap for this WW commodity is narrowing. You can feel that you are getting screwed when gas is cheaper in EU than here, not before. Just my opinion, I could be wrong...

silverc4s, the difference in prices at the pump between the U.S. and Europe was taxes, not the price of a barrel of oil.

We already have taxes on oil. big ones. both foreign and domestic.

For those who think the market is driving the price instwead of speculators, go to http://www.eia.doe.gov/oil_gas/petroleum/info_glance/petroleum.html
and check a few charts.
You will find that the available oil, the actual oil inventory, and oil useage are all prety much stable from one year ago. Actually demand is down a little. So why has the price nearly doubled? The fundamentals say it should be down.
So much for that theory.

Legion,
You are correctamundo, sir. A large part of the EU Gasoline price was (IS) taxation used to fund a socialist society. BUT there was still a base cost per liter before tax that was quite a lot higher than in the US.
Also in 2001 you could purchase a Euro for about 75 cents, now the same Euro will cost you over $1.50. In a global commodity market where there are plenty of Euros, that makes oil cost a lot more dollars.
Both of these factors are real, and greedy speculators, and billionaire hedge fund managers driving around in Enzo's and Carrera GT's with their Crackberrys ablaze are a big factor as well.
None of this helps with a solution unfortunately...:(