Sydney, Feb 22, 2011 (ABN Newswire) - The upheaval in Libya has only intensified the caution that equity markets were taking, according to Clifford Bennett at Herston Economics. He makes the point that these developments are in some ways unfamiliar to us in the west, in that they are for the long term benefit of the region. This is a sharp adjustment in the political landscape toward greater democracy and capitalism. As such oil flows are unlikely to be effected other than for a very short period of time.
Equity markets should still begin to recover toward the end of the week. Meanwhile Gold and oil are continuing the forecast bull runs, albeit unfortunately due to the unrest. Mr. Bennett highlights that these commodities can be expected to trend higher consistently through the year for the positive reasons of strong global demand. The fears of China slowing due to its dealing with inflation are overdone, and any and all dips this week remain great buying opportunities.
View the videocast here: http://www.abnnewswire.net/multimedia/en/66118/Clifford-Bennett
Herston Economics
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