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konhow
Jan 18, 2023 6:54 PM

Correlation – Crude Oil & CPI Long

Crude Oil FuturesNYMEX

Description

Studies indicated Crude Oil is the best indicator to track the current inflation.

It is also a leading indicator to inflation numbers? If that is true, we will have to track the crude oil prices very closely.

Content:
i. The most inline commodity with CPI
ii. Can the Crude Oil track CPI?
iii. Direction of Crude Oil

Crude Oil Futures
Minimum fluctuation
0.01 = $10
0.10 = $100
1.00 = $1,000
10.00 = $10,000

Disclaimer:
• What presented here is not a recommendation, please consult your licensed broker.
• Our mission is to create lateral thinking skills for every investor and trader, knowing when to take a calculated risk with market uncertainty and a bolder risk when opportunity arises.

CME Real-time Market Data help identify trading set-ups in real-time and express my market views. If you have futures in your trading portfolio, you can check out on CME Group data plans available that suit your trading needs tradingview.com/gopro/


Comments
JoeChampion
Cheers!
RogueCleaner
CPI is manipulated, Oil price is manipulated, Garbage in Garbage out. this exercise is wasteful.
konhow
@RogueCleaner, Agree with you somewhat. Inflation and CPI is not a choice we can choose not to live without directly and indirectly. Instead of running away from these markets because of a perceive "manipulation", I prefer to manage these markets.
RogueCleaner
@konhow, you dont get it. if you are using rubbish data then the whole process is flawed. if i tell my doctor my diet and i lie to him, how can he diagnose me properly?
konhow
@RogueCleaner, Thanks! You made a good point. If one market do not work well, there are so many others. Keep on keeping on... Hope to hear from you again.
farmtrader15
If the correlation is to continue wouldn't oil continue to decline in value? I thought CPI was "supposed to decline" from here on out.
konhow
@farmtrader15, If oil started to trend up for any good reasons. CPI should trend along as well. This is an observation made, it is technical and not a science. I will take a proactive stance than a reactive one later. We will only know some months from now.
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