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The Economist has a knack for getting on the case of sectors / companies whenever their price is at an extreme - and being wrong. It's actually a good contra-in
by vegabook 10y ago
The Economist has a knack for getting on the case of sectors / companies whenever their price is at an extreme - and being wrong. It's actually a good contra-indicator, as we've seen with oil, shale, gold, more recently Deutsche bank, and now Twitter.
- PhantomGremlin 10y agoIt's actually a good contra-indicator My all time favorite wrong call of theirs came in 1999. Oil had dropped to $11 and they were predicting that it could hit $5: a “normal” market price might now be in the $5-10 range. Factor in the current slow growth of the world economy and the normal price drops to the bottom of that range. Of course, oil did just the opposite, climbing to about $140 per barrel over the next decade. http://www.economist.com/node/188181 http://www.economist.com/node/188181
- vegabook 10y agototally agree. They're infamous for this front page call. Remember when they also were lauding Gordon Brown for selling half of Britain's gold for an average price of 270?