Is One Man’s Oil Price Prediction Causing Crude to Spike?
Related Articles
When Goldman Sachs energy strategist Argun Murti made his oil price prediction that the black goo would “super-spike” past $200 in six months to two years’ time, how aware was he of the affects this prediction would have on the price of oil?
Murti’s price prediction seems to have been one of the main drivers behind oil’s climb yesterday, with the AP news wire carrying the headline: “Oil prices rise to record near $123 a barrel on prediction of $200 oil, supply concerns.”
Turns out Murti knows a thing or two about the oil price prediction game. In 2005 he correctly predicted — when oil was at about $55 a barrel — that it would pass $100, which it duly did in January.
“Murti is getting the last laugh,” says Justice Litle in Taipan Daily. “When he first predicted oil could reach a $105 a barrel, way back in March of 2005, oil was trading below $60. The prediction was scorned and laughed at, even as it caused a bump in crude prices… some thought it was just a Goldman Sachs publicity stunt.
“But it was no stunt. Murti’s call was dead right, and all the naysayers were wrong. For the past three years, many have been predicting that the bottom would fall out for oil prices. As crude passed through each new threshold — $70, $80, $90, $100 — there were loud drumbeats for how the price of crude would collapse ‘any day now.’”
Another oil price prediction that is proving scarily accurate is Keith Fitz-Gerald’s forecast that oil prices will reach $187 a barrel within three years. Read on here to find out why Keith thinks oil is heading for $187 a barrel and why the energy ‘experts’ have it wrong again.
