More on oil: The correlation between oil prices and equities is melting away, notes Scott...


More on oil: The correlation between oil prices and equities is melting away, notes Scott Barber. Since the financial crisis, the oil price has been demand driven - with crude moving higher along with stocks. Of late, price moves are more to do with supply worries which could presage something less than positive for the equity markets.

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  • losbronces
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    Yes, at this time (not for the first time) oil prices are related to supply worries and not the actual supply and demand situation. If those worries come to fruition, i.e., a major conflict in which Iran takes out nearby oil facilities, it will be very bad for equities. Just my opinion.
    23 Feb 2012, 07:19 AM Reply Like
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