Ok, so we have this video that is blaming high oil prices on the speculators. It's something I have been hearing over, and over the last few months.

What I can't understand, is how do speculators drive oil prices up? I mean, sure, I know buying a contract has a lifting effect on the markets, however, for every contract a speculator *Buys* don't they have to sell that before the contract expires? Would that offset not drive the price back down? Even if the speculators generate an *Artificial demand*, would that higher price not cause a release of oil from the industry, which would drop oil prices due to excessive supply?

or is my understanding completely wrong?

Skip forward to 15 minutes:

http://www.youtube.com/watch?v=2ECZC4bGUKA&feature=share