Oil jumps as markets start showing signs of settling down
Brent and WTI crude are now up by more than 1% on the day
Well, the panic this week sure didn't last long. Markets are starting to calm down and despite volatility holding up at elevated levels still, the other signs are indicating that the selloff/correction in prices may be short-lived.
S&P 500 futures are up by 0.9% on the day in what has been a soothing help for Asian equities. Of note, the Hang Seng index is up by 1.2% at the lunch break. And now, we're seeing oil prices start to head higher once again.
For WTI, the drop seems to have stalled at the 50.0 retracement level @ $70.67 and as risk starts to rebound, expect the focus to turn back to Iran sanctions once again which will help provide a tailwind for price to move higher.