With ongoing concerns in Ukraine and Iraq leading the energy markets higher, Michael Hewson considers the potential knock-on effects for global growth and the stock markets.
- Events in Iraq have encouraged crude oil to break higher out of its triangle formation which may target $112 but the market needs to remain above $104
- A 15% rally in WTI crude prices through 2014 has raised concerns about how this will impact US and global growth
- The Russell 2000 has failed to reach new highs and remains in a downtrend, with some thinking that the index will suggest the next move for equities
- Mark Carney has brought forward rate hike expectations but sterling will need some serious momentum to break above the $1.70 level and the Fed may look to act first
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Video content by Michael Hewson of CMC Markets.
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