WTIC Oil continues to slide, and today lost the key $50 threshold, settling -$2.77 (-5.2%). There is viable downside to the $47/43 zone in the immediate term. Meanwhile, with the Euro unable to hold 1.21, the USD continued to strengthen, +0.2%, headed for the giant 100 threshold.
WTIC, monthly'2, rainbow
It is only the second trading day of January, and already, we're now in the secondary target zone of $50/45. The decline in Oil remains an exceptional event. The only issue now is whether WTIC Oil will floor in the 40s...or the 30s. Considering the utter lack of concern from OPEC... the latter seems very likely.
Meanwhile... King of paper currencies.. the USD... continues to climb
The giant 100 threshold looks set to be hit this year... at the current rate.. by late spring.
Tuesday will see ISM/PMI service sector, along with factory orders, that will certainly be enough to give the market an excuse to sell a further minor wave lower.
Goodnight from London