Hartnett: The Endgame Is If The Next Recession Sends Yields Higher, Not Lower, As Markets Discount Fiscal Policy Panic

Earlier this week, when we discussed the unprecedented plunge in US commercial crude inventories to levels not seen since 1985, we said simply that "it's about to get bad... very bad" as Biden's "plan" to drain the SPR in hopes of keeping gas prices low and winning re-election is about to backfire spectacularly.

... very bad https://t.co/Tf6QRmiAdh pic.twitter.com/8KSw47iRzK

— zerohedge (@zerohedge) September 7, 2023

One day later, in his latest weekly Flow Show note (as usual available to professional subs), BofA Michael Hartnett picks up on this theme and notes that oil prices are now at 2023 highs - just as any reasonable, rational person would expect after all the government attempts to manipulate oil lower - as a result of the four key drivers: