So much for Federal Reserve transparency, it is very clear after the release of the Fed minutes that the Federal Reserve either misled the market after the last Fed meeting or there is something more sinister going on.
Oil prices had the shackles removed and spiked higher after the Republicans caved and agree to a bill that will raise taxes on families that earn over $450,000. Of course for oil bulls any deal is better than no deal.
With geopolitics less of an issue or price driver than it was the last few weeks the main oil price drivers are likely to be any and all macroeconomic data on the global economy with oil fundamentals equally important.
As the world gets geared up for more stimulus and word that Saudi oil production is rising, it seems to suggest either that demand is getting better or the Saudi’s are trying to make sure the market is well supplied ahead of any impending conflict.
In a weird way it was nice to focus on good old fashion oil fundamentals. Like refinery explosions, hurricane threats, the Energy Information Administration Short Term Energy Outlook and a surprise drop in crude supply.