Predicted decline in oil priceshould boost stock markets

Conference

gavkal chairman claims emerging markets less sensitive to United states

Oil prices will fall as low as $25 a barrel, prompting a surge in global stock markets, according to Charles Gave, chairman of GavKal research partners. Speaking at Investment Week's Investment Trust Forum, economist Gave said he believes that oil's supply and demand criteria are about to meet, adding that lessons learned in the past testify to this. "In the 1980s, Saudi Arabia was the swing producer of oil and always reduced production to maintain prices," he said. "From 1980 to 1985, the country reduced production of oil from 8.5 million barrels a day to three million a day. By doing s...