Oil & Copper also correlates to the GDP Rate

With a mid cycle slowdown amongst us, market watchers are watching for a contraction in GDP.

After all, that is the measure which labels whether or not an economy is in a ‘recession’.

Similarly to the inflation number written in this post,

https://robzdravevski.com/2022/06/30/crude-oil-is-your-inflation-proxy/

Crude Oil and Copper prices are reasonably good barometers of the economy’s health with the latter being more so, with the demand side of the equation dominating the price discovery.

In the charts below, the U.S. GDP Rate appears in brown.

July 6, 2022

by Rob Zdravevski

rob@karriasset.com.au