Steve's barking at oil, oill every were

Oil, oil, every were but not a barrel under 109 dollars.
It must be because of demand, No from what I understand demand is way down.
Maybe it's because of the speculators? I've heard that money is cheap to borrow and you can't make any by buying bonds, so you have to spend money have you money someplace so you speculate on commodities such as  oil and gold.Good theory and I do believe is partially true.
What ever happened that a oil companies used to buy contracts from oil producers at a fixed rate?
Do these majors resell this oil on the open market and re-buy it back at a higher price that they pass on to customer with percentage of will always be the same making for higher profits. If the price lowers, the major can buy the oil back cheaper then they sold it making a profit that way. Is this what is happening? Beats me, I don't have a listening device in the major oil companies board rooms, nor have I the ability to hack computers.
If what I wrote is possible true, the oil companies aren't doing anything wrong.  They are doing what they are suppose to be doing maximizing profits with relatively little risk.
Is a major industry hurting other industries? Yep, but that's not the oil companies problem, is it?
The current climate in world (I don't mean the weather) prevents those who can from doing anything about the over paying for oil from doing what should be done.

Should China help the US by putting it's foot down on what they will pay for the price of oil.
Only if  it means that unemployment in their country goes significantly up, after all they have excess dollars and US bonds making the oil cheap.