TickBirdTrader

Oil vs High Yield Spread vs SPY

Long
NYMEX:CL1!   Light Crude Oil Futures
Declines in crude oil seem to cause spikes in the high yield spread, which is then transmitted to the equities markets. According to the COT data money managers had large net long positions in crude oil. Perhaps the recent drop in crude oil prices was a major cause of 4Q18 dramatic drop.
Disclaimer

The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.