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Freitag, 5. Dezember 2008

Oil prices could fall to $25

Merrill warns oil prices could fall to $25
Merrill Lynch warned that oil prices could fall as low as $25 a barrel next year if the recession affecting the US, Europe and Japan extended to China, the main driver of demand growth in commodity markets in recent years.

Merrill's warning came as oil prices sank below the $44 a barrel on Thursday, the lowest level in almost four years, in spite of dramatic interest rates cuts in the UK, Europe and Sweden.Francisco Blanch, head of commodities research at Merrill Lynch, said his main scenario was for oil prices to average $50 a barrel next year, but warned: "A temporary drop below $25 is possible if the global recession extends to China." ... more details here in Financial Times...

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