Why is it that most of the people on this site have no idea how market economics work but are not afraid to spew out why this industry is failing? Speculators do not control the price of gas. The market determines the price. The speculators actually keep the market stable. Without people trading futures, there would be HUGE volatility in the market and most purchasers of oil would be unable to survive because of the lack of ability to predict the cost.
This letter is almost spot on. Gas prices are not the primary reason for the poor performance of airlines. It just happens to be a contributing factor at a bad time. Airlines have run themselves into the ground at every price of gas, and they don't seem to be doing much to change things.
For the record, futures markets are a very important part of our economy that have helped businesses grown for decades. Futures don't just trade for higher amounts. They also trade for lower than current prices. The only speculators that succeed are the ones that predict the prices accurately. If I were a speculator and I could change the price of oil, then I would just buy it for $400/barrel and make a huge profit, right? That would be a huge ROI for me. Oh wait, somebody has to believe the price of gas will be $400 for that to be successful.
All I ask is that you people try to do a little research and learning about the spew that you put forth here. It's just embarrassing.
Oh, and Wal-mart is not the anti-christ. Anybody that complains about Wal-mart coming to a town and closing down mainstreet should not say anything unless he drives a 1950 Ford and uses a typewriter to post on APC. Otherwise, you're an ignorant hypocrite.
Sorry, just finally reached my limit with the ignorance that prevails here.