DailyWealth Friday, July 07, 2006
ANOTHER HIGH IN A LONG BULL MARKET
Last week, we asked DailyWealth subscribers for their opinion on the future of crude oil prices. The majority responded in agreement with legendary investment analyst Marc Faber.
Here's what Marc recently said about oIL:
"China's yearly per-capita consumption of oil is 1.7 barrels. U.S. per capita consumption is 27 barrels. Korea's and Japan's are 17 barrels. The U.S. has 740 vehicles per 1,000 people. In China there are three, and in India there's one. Demand is going up, and prices will be much, much higher than they are today."
In other words, if China and India hope to reach even half of the U.S. level of wealth and car ownership, it's going to take an awful lot of oil and gasoline to get there.
The market agrees with Marc's bullish case right now. Oil just hit a new high. just the latest in a well-behaved bull market.
-Brian Hunt
Editorial Posting
at 5:48 PM
