Excerpt from Yahoo Finance quoting DataTrek’s Nick Colas:
….”During past oil slumps, in early 2016 and the fourth quarter of 2018, stocks followed oil’s move lower.
“Oil and stock prices do tend to correlate over time as long as there’s not a military conflict involved,” said Nick Colas, co-founder of DataTrek Research.
Federal Reserve vs. Oil
This time around, the market is laser focused on something else: a Federal Reserve rate cut.
“What’s different now is that equity markets desperately want to see the Fed cut interest rates and lower inflation from lower oil prices helps that argument,” Colas added”….
Read the full article here on Yahoo Finance!