Just how low can oil go?
Robert Lloyd George, a money manager with 24 years of experience in emerging market thinks the price of oil could hit $US30 (£19) a barrel by the end of the year, according to an interview with Bloomberg.
“It’s a different era now; you have to think differently,” Lloyd George told Bloomberg.
He thinks the improving diplomatic relations between the US and Iran will boost global supply by up to 2 million barrels a day, while demand in China will continue to slump on a slowdown in economic growth, forcing prices lower.
The Brent Crude oil benchmark is trading around the $US50 (£32) mark today, less than half the price it stabilised at for the last few years.
Here’s the chart from Bloomberg:
Lloyd George, the great grandson of Britain’s World War I era Prime Minister David Lloyd George, managed around $US17 billion (£10.8 billion) in assets at one point. He’s starting a new investment company focused on Asia.