crude oil

After an extended period of historically low volatility the agricultural futures markets have sprung back to life. They have been driven by what we call The Two W’s, weather and Washington.

Saudi Arabia and Russia just destroyed the oil price rally, potentially putting an end to all the speculation about what the group might do next. But higher production doesn't necessarily mean higher oil prices are entirely out of the question, and in fact, the oil market is still faced with a ton of uncertainty.
From $145 to $35 to $115 to nearly $25 and now to back above $70, the price action in the oil market has been a roller coaster for a full decade now, and the question on every trader’s mind is “how far will we rise before dumping again…and what does that mean for other markets?”
The Trump administration is cracking down on Venezuela and laying down threats of the toughest sanctions Iran has ever seen, adding to the risk premium for oil while there are signs that U.S. and global supplies are tightening.

E-mini S&P (June)

Last week’s close (May 18 2018): Settled at 2713, down 5.75 on Friday and down 16.50 on the week

A trade truce with China and a sham election in Venezuela is a strong indication that we will continue a path of strong demand and tighter supply in the global oil market.

The S&P gave us exactly what we talked about yesterday, a constructive session with buying interest. The Russell 2000 has quietly been a leader for much of the post-correction trade and yesterday it set a new all-time high.
Oil prices fought off a strong dollar and a downbeat assessment of future oil demand and instead focused on the realities of rip roaring oil demand and falling supply.
Oil has taken off like a rocket as Israel strikes Iranian targets in Syria in response to rocket fire overnight. Israel says it targeted Iran’s military infrastructure in Syria, in response to an Iranian rocket attack on the occupied Golan Heights.
Crude oil turned volatile on conflicting reports about Iran deal earlier today, with US President Donald Trump set to announce his country’s decision in just over an hour at 19:00 BST.