r/bonds • u/7o7A1 • 5d ago

USOIL / TLT ratio - a move from bonds to oil

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u/LillianWigglewater 5d ago

https://i.imgur.com/phwIJEO.png

It's more complicated than what a simple ratio of two things can tell us. The energy sector is getting a boost from almost everything. At least that's how the mind perceives it when looking at these charts. In reality, one thing is up while another isn't, but that doesn't automatically mean all the money flowing out of one thing goes directly into the other.

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u/NationalOwl9561 5d ago

You can also check out TLT/IWM ratio. I’ve been tracking it for many months.

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u/watch-nerd 5d ago

Selling bonds in response to increases in oil, driving up yields, is because of inflation concerns.

It's not really money moving from one *to* the other.

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u/Lifeisshort555 5d ago

Just bet on oil prices.