It's the dollar, stupid.
 | The Washington Post today proclaim that “Skyrocketing Oil Prices Stump Experts.”. Now I’m not an expert, so maybe I’m just being stupid, but this doesn’t seem that complicated.
First 3 graphsWhat you see to the left is the dollar tracked over the last 12 months against The Euro, Oil and Gold and the British Pound. Focusing on the first three.. do ya see any similarities? The same amount of gold will buy the same amount of oil. The same amount of Euros will buy the same amount of oil.. so gas price hikes outside of the UK are a pretty disgusting gouging by someone.Graph 4This is the UK currency, the Pound against the dollar. This doesn’t match the other graphs at all, and that brings me to what prompted me to write this in the first place - an article by the BBC about the rising price of fuel in the UK.The VALUE of crude oil is not risingSo. Either I’m stupid, or the media is stupid. It’s very very easy to see, that the amount of value you have to exchange for a barrel of crude oil has been static for a year, but that’s going to mean more in terms of Dollars, because the VALUE of the dollar is plumetting. How long is it going to take for this country as a whole to start dealing with that reality?Crude oil as a currency is very stable |
