When global markets collapsed in 2008, crude oil plunged for 7 consecutive months, crumbling from $147 per barrel in July 2008 and bottoming near $35 a barrel in February 2009. (See monthly crude oil chart above.)
Fast forward to September 2011 where we see crude oil trading near $90 a barrel.
Bottom Line:
If a severe global recession takes hold, expect crude oil, a harbinger for global growth, to plunge. So far, that hasn't happened, a positive for the global economy and global financial markets.
Keep a watchful eye on crude oil and copper for warning signs of a global recession.
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