Last week, I did a blog entry on the International Monetary Fund warning that there might be a small recovery next year if there are comprehensive and co-ordinated global policies, and if commodity prices remain low.
So far, there's been no sign of global co-ordination. Add to that the reports of warnings that oil prices have bottomed out and are likely to soar again. Investors are betting on a big spike with spot and futures prices for West Texas Intermediate crude up nearly 40%.
As The Wall Street Journal reports, part of the problem is the slowdown in investment in oil and gas production ensuring that the laws of supply and demand will kick in and send oil prices higher.
If that's right, it's not a good sign for any sustainable economic recovery.
no comment untill now