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Early Evening Art Cashin: Cheap Gas Boost to Christmas? Cashin Not So Sure
NOVEMBER 20 2014 Rising equities and falling prices at the pump will bring holiday cheer, but be aware of potential headwinds as we head into 2015. Global CIO Commentary by Scott Minerd ( Guggenheim) "Even if gasoline prices remain unchanged for the rest of the year, we project real discretionary consumption should rise by the most since the beginning of 2011, helping to spur GDP growth. The short-term trajectory of oil prices will depend on a number of factors, including the growth outlook for Europe and Asia, as well as the global supply/demand dynamic. Despite the recent decline in market prices, producers in the Middle East have not yet cut back on production. With fracking having fundamentally increased output in the United States, I suspect that oil is at least ten dollars a barrel away from any kind of price support." http://guggenheimpartners.com/perspectives/macroview/falling-gas-prices-fuel-holiday-cheer
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Rising equities and falling prices at the pump will bring holiday cheer, but be aware of potential headwinds as we head into 2015.
Global CIO Commentary by Scott Minerd ( Guggenheim)
"Even if gasoline prices remain unchanged for the rest of the year, we project real discretionary consumption should rise by the most since the beginning of 2011, helping to spur GDP growth.
The short-term trajectory of oil prices will depend on a number of factors, including the growth outlook for Europe and Asia, as well as the global supply/demand dynamic. Despite the recent decline in market prices, producers in the Middle East have not yet cut back on production. With fracking having fundamentally increased output in the United States, I suspect that oil is at least ten dollars a barrel away from any kind of price support."
http://guggenheimpartners.com/perspectives/macroview/falling-gas-prices-fuel-holiday-cheer