Oil prices have plunged 56 percent in the last seven months, falling to 5 ½-year lows, and ace activist investor Carl Icahn expects the move to continue.
"I think [oil's price] will continue to go down unless there is some outside event," he tells
CNBC. But if a crisis event doesn't happen, "I think at least for the near term, oil prices will go lower."
Prices are falling amid sluggish demand, as economies stagnate overseas, and amid bountiful supply. U.S. oil production has hit its highest level in at least 31 years, thanks largely to the shale revolution.
Looking forward, when oil rebounds there will be "tremendous opportunity" for investors, Icahn maintains, adding that "there will be increased demand for oil over the years." With sources of supply diminishing, offshore producers will thrive, Icahn notes.
To be sure, "I wouldn't rush in now on oil, and that's talking against myself because I own a lot of oil stocks," he states.
One thing we probably don't have to worry about related to falling oil prices is our retirement accounts, says
Chris Moony of The Washington Post.
"I mean, sure, if a person were exclusively or mostly invested in oil stocks or oil intensive funds, then yes, their 401(k) is probably worth less now than it was six months ago," he writes.
"But this is precisely why investment advisers tell us to diversify, diversify, diversify, and invest for the long term."
In the same seven months that oil prices have dropped 56 percent, the S&P 500 index has climbed 4.3 percent, and the 10-year Treasury yield has slid to 1.91 percent from 2.62 percent.
Many companies will save money thanks to reduced energy costs.
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