We’re at the $100 mark once again for WTI, also known as “mark of the beast”. I wish I could have seen this one coming and be bragging my way through the weekend, but the truth is it’s pretty confusing. My last ditch explanation is that the Smart Guys in the Room are thinking that a 2nd month in a row of weak job growth is setting the stage for Janet Yellen to start off her “When Doves Cry” Fed Presidency.
We can wait out the March FOMC meeting for her and the Fed to ease off the gas pedal on QE tapering, or we can see a little pillow talk regarding the Fed’s target for raising rates. The pace at which we’re seeing Unemployment fall and a lack of job creation is a recipe for disaster or hyper inflation, whichever comes first. I don’t think I’m too far off on this theory because we saw WTI fall from grace in late December to the FOMC meeting in January when QE tapering was increased, so as we rally back up above $100, it sure looks like the opposite can stand.
Then again, it might just be the markets gift to me for O3 2K coming up on Monday.
Have a great weekend.