oil

With memories of last week's high-volume, post-Fed, quad-witching selloff fading fast, overnight the Santa rally defined as no volume, no breadth levitation, has continued for a third day and moments ago European stocks rose to their best level of the day, with the Stoxx Europe 600 Index headed for its biggest advance in a week, while US equity futures ramped on the European open as they traditionally do, and then again hit session highs minutes ago, as holiday volumes are in meltdown mode, and oddlots can move the E-mini by 1 point.

• Global stocks rise but oil, Fed keep investors nervous (Reuters)
• Janet Yellen: An orthodox economist for unorthodox times (Reuters)
• House Democrats Said to Be Open to Lifting Oil Export Ban (BBG)
• Don't Count on an Oil Rally If U.S. Crude Export Ban Is Lifted (BBG)
• Germany welcomes 34-state Islamic military alliance against terrorism (Reuters)
• U.S. soldier Bergdahl may face life sentence in court-martial over desertion (Reuters)
• Newell Rubbermaid to Acquire Jarden for $15 Billion (WSJ)

Submitted by Charles Hugh-Smith of OfTwoMinds blog,

Consider this chart of the gold-oil ratio.

By all accounts, the world is awash with oil: production remains high while demand is softening along with the global economy. This has led many observers to forecast further declines in oil from the current price (in USD) of around $35/barrel.

This Is Why $20 Oil Is A Possibility (Zero Hedge)

Authored by F. William Engdahl via New Eastern Outlook,

In recent weeks one nation after another is falling over themselves, literally, to join the turkey shoot known, erroneously, as the war in Syria, ostensibly against the Islamic State or Daesh. The most wanted but most feared question is where will this war frenzy lead, and how can it be stopped short of dragging the entire planet into a world war of destruction?