Marc Faber : “One hears all kinds of forecasts that oil prices will tumble and
some are forecasting oil prices to go up substantially. There are all
kinds of views. The fundamental fact is simply that not only for oil but
for other commodities as well the production cost has risen very
substantially. So I think that new oil will cost at least around $60-70 a
barrel for the exploration and the capital investments.”
“Therefore, I do not think that oil has a huge downside risk, but we
live in a volatile world. In July 2008 we were at $147 a barrel and
within six months, we dropped to $32 a barrel in December 2008. I would
not want to necessarily go short on oil for the simple reason that the
situation in the Middle East is deteriorating at an accelerating pace.”
- Marc Faber in an ET Interview
Contrarian Investor Dr.Marc Faber is an international investor known for his uncanny predictions of the stock market and futures markets around the world.
