Energy stocks are only 5% away from recent highs.
If historical correlations matter, it is hard to believe oil won't follow the same path.
That alone would imply a 48% return from its current levels.
As a crucial contributor to inflation, rising energy costs could have a… pic.twitter.com/fBZ60dhWlO
— Otavio (Tavi) Costa (@TaviCosta) August 11, 2023
Global oil demand just hit a record high.
Oil prices are on the rise.
Yet, the U.S. strategic petroleum reserve only has 20 days of cover at current consumption rates. pic.twitter.com/x1zeC0igmF
— Genevieve Roch-Decter, CFA (@GRDecter) August 11, 2023
BREAKING: The U.S. budget deficit has hit $1.6 trillion in first 10 months of fiscal year, more than double what it was a year ago.
— Win Smart, CFA (@WinfieldSmart) August 11, 2023
While the probability of additional rate hikes has been inching lower, odds of rate cuts are dropping.
Markets now do not see any rate cuts until May 2024 in the base case.
3 months ago, markets expected 4 rate cuts in 2023.
Markets seem to be bracing for a long Fed "pause." pic.twitter.com/ZVG8jeSzMu
— The Kobeissi Letter (@KobeissiLetter) August 11, 2023
72 views