If prices can be manipulated purely by talking or threatening a policy?

[Matt W]

In this case we are talking about the effect on speculation in the markets. The speculators always are affected by rumor and projections. Right now they are saying that the actual lack of shortages is temporary and that by selling oil today at lower prices producers are missing the opportunity to make more money later. By suggesting that steps will be taken to increase the supply the assumptions used by speculators change and the price can actually tumble. Information is what drives the markets, always has and always will.