By the way, the commodities market sets the price. Speculators are running up the price.
The Commodities Market is a major factor in the prices I agree. But is this the "main" piece of the formula?
OPEC claims they are just following the "trend" but yet have a big hand in how much crude is released for world usage. This has a major effect on the supply side. Manipulation? China and India have fast growing demands and definitely effect the supply side but how much does this directly effect gas prices in regards to the futures?
The 2005 hurricane season had such an extreme effect on prices it leads me to suspect manipulation by either the oil companies or the markets. It's just hard to put a finger on any specifics.
My opinion on E85 is it isn't an answer to anything about rising prices. It is just an alternative to fossil fuel and not a longterm practical one in spite of the efforts of ConAgra and Archer to build numerous refining facilities.