Weekend News 29Sep

Brent-WTI Spread closed Q3 at/near its high, $20.12,
while the Brent-WTI correlation declined from (+.86) to (+.63).

In spite of the selling in WTI Mon-Tue,
the Brent-WTI spread actually continued higher
during this suggesting the selling in WTI might have
been WTI market specific.

Indeed, the down auction was shut off Wed,
and the market rallied into week’s end.
USDollar-WTI Correlation was unchanged on the week,
with continued slight negative correlation (-.29).

Graphics

Central Banks

  • Geithner Encourages FSOC To Pick Up Ball Dropped By SEC. (FT Alpha)
  • PBOC Injects $60bn For Improved Interbank Lending et al. (Markit)

Geo-Politics

  • The Dawn Of The TBTF Commodity Traders. (FT Alpha)
  • Oil, Upheaval, & The Vortex That Is The Middle East. (IEA/Antoine Halff)
  • Bernanke Thanks Democrats For Voting Against Rep. Paul’s Audit The Fed Bill. (Politico)

Supply/Demand & Markets

  • The Sep 17 Crash: From An Options & Implied Volatility View. (Platts)