Tuesday, September 2, 2008

Marc Faber: Oil to Extend Drop With U.S. in Recession

From Bloomberg:
Oil will likely drop further in the next three to six months, according to investor Marc Faber, who reiterated his forecast that the second half of 2008 won't be ``favorable'' for commodities.

The decline in crude, which today slid to a five-month low, is a ``symptom'' of economic slowdowns in the U.S. and Europe, Faber, who forecast the so-called Black Monday crash in 1987, said in an interview with Bloomberg Television from Bangkok.

``In the U.S., if statistics were compiled properly, the economy would be in recession. Same in Europe,'' said Faber, 62. ``Oil coming down is a symptom of economic weakness.''>>>MORE

HT: Naked Capitalism