Since the end of July, the correlation between the trends of crude oil and copper has strengthened,

Since the end of July, the daily K-line trend of oil and copper has been relatively consistent, but the two trading days of this week have clearly differentiated, and oil is strong and copper is weak! ! ! From the perspective of inflation, the US July CPI was 5.4%, and the core PCE was 4.2%, both close to their highs in the past 20 years. However, the current non-ferrous metals and resource stocks represented by oil and gas have also fallen from high levels. Reflecting from the side that inflation trading has come to an end, inflation expectations have begun to fall

Powell also stated at the Jackson Hole annual meeting last week, “The current inflation is indeed at a worrying level, but this continued high inflation is temporary; if the economic development meets expectations, the scale of debt purchases will begin to be reduced during the year.” . These are the original words of Powell. On the surface, it is indeed that higher inflation is forcing the FED to shrink monetary policy as soon as possible. However, the current federal government’s debt is unprecedented. Once monetary policy is tightened, risk-free market interest rates will inevitably increase. $Nasdaq Composite Index (.IXIC.US)$ $SPDR S&P 500 ETF (SPY.US)$