Jeremy Siegel on the Bear Market and Sky-high Oil Prices
Episode Description
The stock market's June swoon has carried into July, with key indicators pointing to a bear market weighed down by rising oil prices, the credit crisis and more bad news from Detroit, as the Big Three auto manufacturers reported substantial losses. Meanwhile, the G-8 gathered in Japan to discuss global warming and the economy, but didn't include the two largest emerging economies -- China and India -- in the talks. Knowledge@Wharton spoke to Wharton finance professor Jeremy Siegel about these developments and others. đź“‚ Finance & Accounting
Brief Summary
Professor Siegel discusses the stock market decline, rising oil prices, and the auto industry's challenges amid the housing crisis.
Key points
- Market Downturn Analysis. The US stock market is down significantly, with rising oil prices and credit issues contributing.
- Global Economic Impact. The energy crunch is affecting economies worldwide, including developing countries.
- Deficit Reality Check. Experts predict ongoing deficits regardless of the election outcome, emphasizing growth over taxes.
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Episode highlights
- Market Downturn AnalysisThe US stock market is down significantly, with rising oil prices and credit issues contributing.“These are tough times for US investors.”0:54Jul 9, 2008
- Global Economic ImpactThe energy crunch is affecting economies worldwide, including developing countries.“The energy question is more important now than the credit question.”5:41Jul 9, 2008
- Deficit Reality CheckExperts predict ongoing deficits regardless of the election outcome, emphasizing growth over taxes.“We probably will be running a deficit for decades now.”9:36Jul 9, 2008
Tension
45/ 100Some tension
