RE:RE:RE:RE:RE:RE:BE READY FOR A FALLING KNIFE TOMORROW !!!Yes Chinese inflaton came in at 0.4% instead of 0.6% the lowest in three months so not an unusual level. Annualized 0.4% is 4.8% inflation but instead they extend the Chine narrative to drive oil prices down an increadible -5% on that news alone while discounting a 100% chance Israel strikes Iran but will so in a very punishing way this time around.
Escalation in the Middle East should be the greatest factor right now supporting markets but as usual the shorters (largest in history) 21 days before a historic election none the less, drive oil prices down a staggering 5% on inflation data that is mostly positive news. The pattern is becoming clear, suppress oil prices down on the flimsiest on news on quiet days so when escalation happens it only rebounds to previous levels keeping it range bound at reasonable prices. In this case it goes from $77 to $72 then back up to $75 when Iran is hit, keeping oil within a range and keeping inflation down for the US. Is is free markets setting prices or intervention to achieve national objectives? The pattern the past 2 years is becoming more clear.