The chart compares Copper (brown) and 
USOIL (blue) — two of the most cyclical commodities, both highly sensitive to global growth.
Historically, they tend to move in tandem: when economic momentum improves, both rise; when demand weakens, both fall.
But today we see an unusual divergence —
-Copper holding near multi-year highs, supported by structural deficits and energy transition demand.
-Oil trading below $60, its lowest since 2021, signaling cyclical slowdown and weak liquidity.
This gap rarely lasts long. Either copper is too optimistic, or oil is too pessimistic — one of them is likely “lying.”
Which one will be right this time?
USOIL (blue) — two of the most cyclical commodities, both highly sensitive to global growth.Historically, they tend to move in tandem: when economic momentum improves, both rise; when demand weakens, both fall.
But today we see an unusual divergence —
-Copper holding near multi-year highs, supported by structural deficits and energy transition demand.
-Oil trading below $60, its lowest since 2021, signaling cyclical slowdown and weak liquidity.
This gap rarely lasts long. Either copper is too optimistic, or oil is too pessimistic — one of them is likely “lying.”
Which one will be right this time?
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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.
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.