Oil Falls, Bitcoin Up – Trustnodes

Buy the rumor and sell the news may be in action in oil markets where prices have fallen a bit today, when you might have expected a rise.

Both WTI and Brent oil are down by about 1% with WTI falling from a recent high of $94, to $93.

Small movements, but in light of the two million barrels reduction announced by OPEC, you would have expected a rise.

The European Union however has moved to impose a price cap on Russian oil. It is now illegal to transport Russian oil above that price cap.

This may contribute to a reduction of oil prices across the board, in addition to the United States bringing some ten million barrels to the market.

Saudi Arabia in addition has surprised analysts by keeping November prices for its Arab Light grade for Asian customers unchanged. Many expected a rise.

They even lowered slightly the prices for northwest Europe, with the OPEC announcement so turning out to be a lot more complicated in actual practicalities.

Natural gas is up however. EU is mulling on putting a price cap on that too, for all providers.

Bitcoin on the other hand seems to be gaining itself, up above $20,000 once again as the macro slowly changes.

The crypto has been slightly bullish for much of this week, ignoring stocks and other markets, but not quite the dollar strength index (DXY) which has fallen from 114 to 111.

That DXY tends to be affected by commodity prices, thus crypto traders have to keep an eye on oil and gas, among other things, as the new asset (the teenager) moves towards maturing.

Oil prices however have become a political priority for US president Joe Biden, and so if they rise so may the pressure on the young Saud.

It may thus instead be the case they continue to drip down, though we’ll get a better idea once we get the Q3 economic data to see how US and Europe have been performing.

Signals have remained somewhat mixed there, but for Europe Q3 was summer with booming tourism so the data may well say boom keeps on even as the TV shouts doom.