In short, oil is trending to higher, more sustainably profitable levels. Government intervention can only have short-term implications. The oil they are releasing is a spit in the bucket compared to total demand. Bottom line is that if we have a cold winter, things could get out of hand, and if people are freezing in the north-east due to temporary shortages, they will release more oil. Still, we know more oil is on the open waters headed for North America, and by summer next year the inventory squeeze should subside.
Markets find excuses to go in the direction they want to.
The tensions in the Middle East are unfortunate, but they have no practical implications for the supply of oil. As you know, natural gas is a land-locked commodity. Natural gas is an environmentally preferred energy source. Virtually all expansion plans from electric utilities are based on gas. I have not featured pipeline stocks in my portfolio, because of the timing of these pipelines.