It Isn't Speculation!

If one more person says that oil is up on speculation, I am going to scream. In fact, it is the exact opposite. If it were just speculation, it could never get this high, because all of the marginal sellers would be flooding the market and the big producers would be locking in these selling prices and knocking things down big.

The idea that there are somehow millions and millions of excess barrels out there defies logic. It is almost as if the institutions that do have commodities as a component of their holdings will never sell. Buy and hold oil? Oh, please.

The only thing you need to know is that this group of stocks hasn't had a number bump in ages. Does anyone think that the numbers won't be blown away for Exxon (XOM - commentary - Cramer's Take) or for Southwestern (SWN - commentary - Cramer's Take) or for XTO (XTO - commentary - Cramer's Take)? Does anyone really think that El Paso (EP - commentary - Cramer's Take) is going to earn the same thing people thought it was going to earn?

Nonsense.

Does anyone think that Conoco (COP - commentary - Cramer's Take), which is actually down, isn't going to increase its dividend and its buyback?

I am going to say this until I turn blue: WE DON'T HAVE ENOUGH. STOP BLAMING THE SPECULATORS.

And accept the fact that we are going to $150 oil and $5 gasoline.

At the time of publication, Cramer was long XTO, El Paso and Southwestern.

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Jim Cramer is a director and co-founder of TheStreet.com. He contributes daily market commentary for TheStreet.com's sites and serves as an adviser to the company's CEO. Outside contributing columnists for TheStreet.com and RealMoney.com, including Cramer, may, from time to time, write about stocks in which they have a position. In such cases, appropriate disclosure is made. To see his personal portfolio and find out what trades Cramer will make before he makes them, sign up for Action Alerts PLUS. Watch Cramer on "Mad Money" weeknights on CNBC. To order Cramer's newest book -- "Jim Cramer's Stay Mad for Life: Get Rich, Stay Rich (Make Your Kids Even Richer)," click here. Click here to order "Mad Money: Watch TV, Get Rich," click here to order "Real Money: Sane Investing in an Insane World," click here to get "You Got Screwed!" and click here for Cramer's autobiography, "Confessions of a Street Addict." While he cannot provide personalized investment advice or recommendations, he appreciates your feedback and invites you to send comments by clicking here.

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