What a difference a week makes. WTI and Brent, even more so, were riding a sentiment that continued to ignore the possibility of a Gaza ceasefire, poor Distillate performances and shifting sands from the macro suite while boasting lofty backwardation in M1/M2 spreads.
After a dismal week, which saw Brent losing $6.54/bbl and WTI falling $5.74/bbl some relief was provided Friday afternoon much to the satisfaction of the Fed chair. US job growth slowed more than forecast in April and unemployment crawled up by 0.1% to 3.8%.
There used to be a very pronounced direct relationship between global oil demand and oil prices and consequently an indirect one between the equity markets, which were and still are the trustworthy barometer of the health of the global economy, and oil prices.
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