Pam Martens thinks so. She points out that the fall is not only in oil prices, industrial commodities in general have fallen dramatically. Where the price of domestic crude oil is down by 47% since June, iron ore is down 49% this year, copper 15%. Natural gas has dropped 30% in the past month. And wages still remain low.
She compares the current situation to that of December 2008 and finds a lot of similarities. But the NY Times reports that consumer confidence has moved to pre-Great Recession levels. Who will be proven right? My money is on Martens as I think the economy is still in slow recovery mode
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