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We put out a lot of content at Ritholtz and The Compound.
Between the blog posts, podcasts, live shows, internal client materials, I can keep going… there’s never a shortage of information for us to cover.
It’s perfect for someone like myself. I spend my entire day thinking about how I can illustrate what’s happening in markets to the masses.
And I have the creative liberty to deliver this information through charts, my favorite method of communication.
What could be better?
Today in our master doc of visuals we put together for WAYT, Josh requested some data from me of what happens to stocks after large moves in oil.
I got to work and the output of my efforts can be seen below.
Here’s what you’re looking at:
The blue line on the left is the S&P 500 price and red dots signify days when WTI Crude Oil was up at least 5% for two days in a row.
We are getting this signal today.
The table on the right breaks down forward returns for the S&P 500 after these large moves in WTI Crude
I took out overlapping instances in the table on the right so the data isn’t skewed.
The median S&P 500 rally 12-months after two consecutive days of 5% Crude spikes is 22.7%.
The win ratio is 83%.
I never would have guessed that, but the data is the data.
I’m excited for Josh and Michael to weigh in on an all new addition of What Are Your Thoughts?
The show airs live every Tuesday at 5:00 PM EST. The replay will also be available for your viewing pleasure if you’re not able to make it live. But, TBH, I really do recommend tuning in live. It’s so fun.
Join me in the waiting room 🙂
That’s all for today. Thank you, as always, for reading!