Most people who are trying to understand the reason that oil prices are so high, are missing a key piece of the puzzle. The fact of the matter is that all commodities have risen significantly over the last 5 years or so. While some of this is due to speculation, a greater amount of this has to do with the huge devaluation of the U.S. dollar. Gold prices have surged along with oil, not because of pure speculation, but because the dollar simply does not go as far in the worl markets any longer. While the powers that be (i.e. The Fed) seem to think that devaluing the dollar is not necessarily a bad, thing because American goods are now cheaper in overseas markets, the fact of the matter is it is straining many businesses.
The bottom line is that the price of oil will not go down until the value of the $ will go up.

The following is an exerpt from a financial new site, that is an eye opener.

"Oil prices have increased sharply in dollar terms especially from 2003, going up by nearly 2.5 times between 2003 and 2007. This has obviously contributed very significantly to the wealth of oil exporters, and allowed them to generate balance of payments surpluses and build foreign exchange reserves, which have then been invested dominantly in dollar assets in US markets. However, this is also the period that the US dollar has been depreciating, especially with respect to some of the other major currencies such as the euro and the Japanese yen. As a result, the change in oil prices has been less striking in terms of these currencies than in terms of the dollar. In the two years between January 2006 and January 2008, dollar oil prices rose by 46 per cent but in euro terms they increased by only 17 per cent."