LOIM - Investment Strategy Bulletin: Lower Oil Prices: Good News, Or Bad?
The past months have been marked by weaker oil prices, with the Brent breaking decisively below USD 80/barrel, and now sittign at a record 5-year low of USD 68/barrel. With the lack of agreement among OPEC members to cut output and subdued demand in a low potential growth environment, investors should probably factor in durably lower oil prices than they have been used to over the past 3 years. Is this good news or bad news?
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