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2012 apr 04 oil arbitrage gap starting

Once again WTI oil is pushing down without Brent. This induces an arbitrage (in addition to the dollar-for-dollar gap) that one is trending up while the other is trending down, vs recent matched proportional activity (forms a line segment on a scatter-plot). One could bet on oil prices going down (Brent dropping) but I'd suggest (as several times before) that oil's pressure is price-upward due to inflation (money-printing) and supply (dwindling globally).

 

2012 Apr 11 update: looks like Brent bent DOWN TO the WTI price-action not the other way around. I wasn't expecting that. I'll add, however, that I haven't seen gas prices dip to match those 2 oil price drops, locally.

 

2012 Apr 13 update: graph showing error in prediction flic.kr/p/bMdXjv

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Uploaded on April 4, 2012