WTI above 60 USD for the first time since January 2020

The black gold continues to defy gravity, and the bullish trend is evident. On Monday, the WTI oil was up another 1.5%, trading at around 60.50 USD for the first time in 13 months.

As we have said previously, oil is one of the best assets to hedge against inflation, unlike gold. Thus investors still anticipate higher inflation and are hedging accordingly. 

Elsewhere, the vaccination program’s importance was confirmed on Sunday by a substantial study in Israel, which reported a 94% drop in symptomatic Covid-19 infections among people who received two doses of Pfizer’s vaccine.

From other news, thanks to the Bank of Japan’s never-ending QE infinity and ETF buying programs, the Japanese Nikkei index rose above the critical 30,000 JPY threshold for the first time since August 1990.

The US markets are closed today due to the President’s Day holiday, meaning liquidity and volatility will most likely be minimal throughout the day. 

US yields shot higher on Monday, with the 10-year yield rising to fresh highs at 1.21%, which supported the USDJPY pair. However, the USD was down notably against other major currencies.

Source: https://www.axiory.com/market-news/wti-above-60-usd-for-the-first-time-since-january-2020