January 11, 2018 | Treasury Rates and Crude Break Out

Treasury rates and the price of crude oil have broken above key Hidden Pivot resistance points this week, a technical event whose significance is explained in the relevant ‘touts’ below. Although I have serious doubts that the inflationary spiral economists have been breathlessly predicting for the last 25 years is coming, I’d have to concede that the pace of economic growth in the U.S. and elsewhere seems likely to quicken. In any event, my long-term skepticism toward the ‘supply-side’ story that has driven energy’s advance has given way to a ‘demand-side’ story that would necessarily include a strong resurgence in China’s manufacturing output. Commodities would participate in such a resurgence as well, so look for more technical coverage on this page as the trend progresses.
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Rick Ackerman January 11th, 2018
Posted In: Rick's Picks