Despite UAE oil minister jawboning, WTI/RBOB was sold today heading into the API data and extended losses after crude showed a surprise build (+1.82mm vs -2.95mm exp). Cushing saw a massive destocking and RBOB was steady after gasoline showed a surprise draw.
API
While the prevailing outlook by the big banks for 2018 and onward has been predominantly optimsitic and in a few euphoric cases, "rationally exuberant", with most banks forecasting year-end S&P price targets around 2800 or higher, and a P/E of roughly 20x as follows...
Authored by Charles Hugh Smith via OfTwoMinds blog,
The basis of this admittedly crazy forecast was simple: capital flows.
image courtesy of CoinTelegraph
I think we can all agree that bitcoin (BTC) is "interesting." One of the primary reason that bitcoin (and cryptocurrency in general) is interesting is that nobody knows what will happen going forward.
Following this morning's tweet, in which Trump said that he was meeting with top Democrats Chuck Schumer and Nancy Pelosi to keep the government open, but because "they want illegal immigrants flooding into our Country unchecked", he "doesn't see a deal", and which sent the T-Bill market turmoiling as mid-December government shutdown odds surged, moments ago the top two Democratic leaders in Congress pulled out "abruptly" (in AP's words) of the previously scheduled meeting with President Donald Trump.
Keeping a close eye on the ratio of Copper -vs.- Gold can be helpful in determining where interest rates are headed. If the ratio is heading lower (Copper weaker than Gold), often times interest rates will tend to fall. If the ratio is heading higher (Copper stronger than Gold), often times rates will head higher and can suggest the economy is strong and growing.
Below looks at the Doc Copper/Gold ratio over the past 10-years-