FAST FIVE: Oil Crashes Below $100 As Recession Risk Roars, Dollar Soars
“In the very near term the Dow & S&P will have a major factor on crude direction as recession fears remain,” said Dennis Kissler, senior vice president of trading at BOK Financial.
Brent Crude is trading below $100/bbl from November 2022 out.
The dollar's explosive surge higher (on the back of a weak euro) is also not helping as it reaches its highest since March 2020.
Interestingly, Citi said that crude could fall to $65 this year in the event of a recession, dramatically different from JPMorgan's most bullish $380 a barrel scenario.
Most notably, US retail gasoline prices have fallen for 21 straight days according to AAA.