Ruffer duo: Falling oil can fuel 'disinflationary boom' for stocks

The rapidly falling oil price is creating the perfect environment for a 'disinflationary boom' in asset prices, according to the managers of the Ruffer investment company.

Ruffer's investment directors Hamish Baillie and Steve Russell said the falling oil price had a positive impact on returns in November, despite BP being one of its largest equity positions at 1.8% of the portfolio. The price of Brent Crude has fallen 40% since June, accelerating since the November decision by the Organisation of the Petroleum Exporting Countries (OPEC) to hold off from cutting oil production. "The falling oil price has fuelled the prospects of a disinflationary boom for many stocks, in the belief that interest rates can remain lower for longer and consumers will have ...