Brent Hits $119.44
The energy complex is certainly enjoying discounting the end of quantitative easing, and is doing so in style: Brent briefly touched a multi year high of $119.44, as it prepares to play chicken with the OPEC threat of pumping more oil once it passes the psychological barrier. And crude, despite the well-known and much discussed issues at Cushing, almost passes $108. No matter what anyone says, this is extremely bullish for the economy and (inverse) wealth creation. At this point we are clearly back to 2008 trendlines to see whether oil can keep up with stock, which are back on their trendline to hit Birinyi's target of 2,700 or something within a year. And $300 oil is very bullish too, especially with the nuclear energy business now, well, out of business. At if all else fails it's ok: the Great Chairsatan can just print some more oil.
- advertisements -