There used to be a very pronounced direct relationship between global oil demand and oil prices and consequently an indirect one between the equity markets, which were and still are the trustworthy barometer of the health of the global economy, and oil prices.
When looking back at the performance last week of the various constituents of the oil futures complex, it is difficult not to arrive at the conclusion that it was one of consolidation.
The three harbingers of stagflation are tepid economic growth coupled with sluggish job market and high inflation. Although US jobless claims fell yesterday, the country’s economic expansion in 1Q slowed whilst the rise in consumer prices unexpectedly jumped.
Copyright © 2024 TP ICAP