Oil may go up substantially from current levels: Marc Faber

Speaking to CNBC-TV18, investment guru Marc Faber said oil prices could go up substantially from current levels.

Marc Faber : ..."...if you look at some other commodities like copper, then obviously oil prices could go up substantially even from these levels. I don’t think that oil is expensive compared to other commodities or compared to other goods prices in the world. But that would obviously depend on some political problems — some interruptions in oil supplies or a possibility of the global economy experiencing some kind of a crackup boom. A crackup boom is a boom that is driven by artificially low interest rates, easy monetary policies and debt growth.

The private sector debt growth has slowed down but it has turned up again. At the same time we have, of course, a huge expansion in government debt. That should not be forgotten.

These crackup booms don’t last. They are not sustainable but they can last six months to one year to 18 months and then a renewed setback occurs in the global economy....."

Contrarian Investor Dr.Marc Faber is an international investor known for his uncanny predictions of the stock market and futures markets around the world.