oil price, page-2

Peter Schiff

http://www.forbes.com/feeds/ap/2008/12/03/ap5775256.html


Q: What do you see happening with oil prices now that they've fallen $100 a barrel from their peak last July to under $50?

A: This pullback is an incredible buying opportunity for oil company stocks. Oil prices are going to be much, much higher as a result of this huge plunge, because this big drop is going to put on the back burner for years any alternative plans, any big exploration plans. Because when oil is back above $100 a barrel next year, nobody is going to want to spend any money on oil exploration because they're all going to be afraid of another major collapse. That'll give OPEC another three or four years of $150, $200-a-barrel oil where no one is doing anything about it. OPEC is probably loving this price decline, because they know it's laying the foundation for a bigger price increase down the line.