Domenici Statement on Federal Probe of Oil Markets

May 29, 2008
04:17 PM
            ALBUQUERQUE – U.S. Senator Pete Domenici, ranking member of the Senate Energy and Natural Resources Committee, today issued the following statement regarding today’s announcement by the U.S. Commodity Futures Trading Commission (CFTC) of several initiatives to increase transparency in oil markets, including disclosure of an ongoing investigation into crude oil markets.
            “It is appropriate that the CFTC take steps to increase transparency in the oil markets, and investigate whether market manipulation is occurring.  While it is clear that fundamental supply and demand issues are mostly to blame for the current high price of gasoline, it is certainly worth examining whether speculators are also having an impact.
            “I look forward to the results of this investigation, which should help Congress decide if any legislative action on market manipulation is warranted.  Understanding the extent of the problem and the best ways to address it will be of great benefit to us down the road as we make decisions in this area.
            “In the meantime, Congress should pursue policies that will increase American production, such as deep sea exploration and removing roadblocks to developing oil shale.   Having spent the last week with my constituents, I know firsthand that the high cost of gasoline is severely impacting their family budgets.  In fact, it has been the most talked-about issue at home.  By increasing domestic production, we can send a strong signal to the rest of the world that we will no longer be content to rely on foreign oil.”