The Daily Shot Brief – March 6th, 2020

Greetings,

 

Energy: Crude prices crashed, plummetting some 30% in early trading. US crude (second chart) dipped below $30/bbl for the first time since 2016.

Source: The Daily Shot

The Brent curve moved deeper into contango (positive-sloping).

Source: The Daily Shot
Source: The Daily Shot

 

Commodities: Gold continues to rally amid risk asset rout.

Source: The Daily Shot

 

Equities: The correlation between US stocks and crude oil has risen.

Source: The Daily Shot

 

Emerging Markets: EM portfolio outflows have been severe.

Source: @econchart

 

United States: The market is placing an 85% probability on the Fed cutting rates by 75 basis points at the next meeting. The fed funds rate is expected to hit 0.2% by early next year. After massive cuts, the market now expects the Fed to begin moving rates gradually back up next year.

Source: The Daily Shot

 

Food for Thought: Childcare affordability, by state:

Source: Deutsche Bank Research

Edited by Daniel Moskovits

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Contact the Daily Shot Editor: Editor@DailyShotLetter.com

 

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