Thanks to the following deep thought:
- BULLARD: HAVE TO HIT A BOTTOM ON OIL PRICES 'SOMETIME'
- BULLARD: WATER IS WET, SKY IS BLUE (just kidding)
... Oil prices are surging and that means buying panics unleashed in stocks...
This oil move has ripped The Dow 300 points higher:
Even as the Fed is folding, and exposing a lack of credibility and crushing the growth hope meme:
- BULLARD: QUITE BIT OF CORRELATION IN OTHER COMMOD, OIL PRICES
- BULLARD: MKTS TAKEN BY SURPRISE BY SPEED OF OIL PRICE DECLINES
- BULLARD: WOULDN'T EXPECT A LOT OF APPRECIATION IN US$ THIS YR
- BULLARD: ECB'S QE CAUSED LARGE MOVEMENTS IN '14 EXCH RATES
- BULLARD: US$ 'VERY SENSITIVE' TO MON POLICY IN OTHER ECONOMIES
And stocks love it because it means that credibility aside, more easing may be coming.
Here's the real reason we ramped... (and why it's likely to stall)