Roubini says: 12- to 18-month recession, cause commodity prices to slide 20% to 30%,

From Nouriel Roubini's Global EconoMonitor:

http://www.rgemonitor.com/blog/roubini/252471/

 

Estimates of $1 trillion are now a floor, not a ceiling, for the losses in this financial crisis...

As reported by the Financial Post today here is a summary of remarks I made today at an event in Toronto:  

Wall St bear may be gloomy but he's often right 
Jacqueline Thorpe,  Financial Post  Published: Wednesday, April 09, 2008

Nouriel Roubini says the United States is facing a 12- to 18-month recession that will make a mockery of the recent stock market bounce and the notion of global economic decoupling, cause commodity prices to slide 20% to 30%, and hit Canada hard.       

"I see the stock market rally as being the last leg of a sucker's rally -- essentially people believing the Fed can rescue the economy," Mr. Roubini said in an interview Wednesday. "Once the flow of market and financial news gets worse and worse, the expectation of the Fed rescuing the economy is going to be dashed, and the stock market is going to plunge much more."

Mr. Roubini, economics professor at the Stern School of Business, co-founder of economics Web site RGE Monitor and Wall Street bear extraordinaire, may sound alarming but the rest of the global economics community has spent the better part of the past two years playing catch-up to his increasingly dire prognostications.

He spoke on Wednesday at a panel discussion in Toronto, delivering his comments in a rapid-fire monotone as gloomy as his message.