Is the Fluctuation in Oil Prices Helpful?
Crude prices rallied robustly from April through September, despite a strong dollar. Usually, when the greenback strengthens, oil prices weaken. The break from the pattern demonstrates that investors reacted too positively to the possibility that President Donald Trump would reintroduce sanctions on Iran, and responded too negatively later, when he offered temporary waivers that allow eight countries to keep buying Tehran’s crude. In both cases, investors overreacted.
Anwar Altaqi – Esam Aziz