WTI Crude prices have puked back all the “yay we have a new Saudi Oil Minister” algo-buying gains and even with just modest strength in the USD Index, the bloodbath overnight in Chinese commodity markets appears to be spilling over. Gold and Silver are also being punished as commodity currencies collapse.
Copper clubbed in China trading but fading more as US opens. Crude gave it all back and PMs stumbling as JPY strengthens significantly
Of course, there is another factor one must weigh as to why Crude is crashing… Gartman!!
..it is time to buy crude oil and to sell equity futures, with the only problem now to decide how to weight the position; that is, do we sell equal dollar sums on both sides or do we weight the trade for “beta,” if there is such a thing for crude oil. We shall try to research that today and tomorrow and perhaps for most of this week, for that shall be a critical, deciding factor in the implementation of this position.
It’s not working out so well..
via http://ift.tt/1Xh2311 Tyler Durden