What's wrong with "Oil Price"?

I have no idea why Paul Krugman in his "Fuels on the Hill" op-ed refused to look at the matter from a realistic point of view and at least let the future market bear some responsibility for the recent surge of the global oil price. According to Mr. Krugman, crude oil price problem has no one else to blame but demand. He acted like an U.S. government (particularlly energy department) sponsored agent to claim that the price has nothing to do with speculation. One thing he differed from the energy department is that he didn't even mention the supply shortage at all. So what eactly goes wrong? China again. (look at the iron ore case as his evidence)
Sure demand is up somewhat, but it wasn't the first day that the demand is up, it's been 5 years and the price jumped 100% in 6 months. What's fundamentally wrong is the American economy and its financial market!
The oil price should go up, no doubt about it, but when it goes up so rapidly in so little time in which nobody can adapt to it, there's something working. And that's the Fed lowering the key rate, sacrificing other dollar using countries' interests for Americans financial lost. The weak dollar, which functions exactly as a negative multiplier, is the bad guy, not China or India!
So, once again, Mr. Krugman chooses a convenient scapegoat instead of blaming the real villain.
Who is Mr. Krugman speaking for?
No doubt, this liberal conscience is speaking for the new energy group! He's no environmentalist and I am no gloabl-warming sceptic, nor am I simple enough to believe that a resolution form the congress can change the trend of oil price. But his idea of using high oil price to change people's behavior, therefore reducing demand for oil and increasing subsidy for alternative energy, is absolutely in line with that industry. Though I am also supporting the "shock and change" plan of cutting oil dependency, I am so disappointed to Mr. Krugman's hypocrisy and his twisted view of the developing world. After all, if he really supported a tighter regulation on the CDO and other financial engineered products, he should have supported a thorough investigation on the speculation of oil. Who could be hurt by that if you are not speculating and making the world like hell?