If Oil Holds $80, Does the Fed Still Have a Reason to Hike?
Jeremy Siegel, Professor Emeritus of Finance at Wharton and Chief Economist at WisdomTree, believes the odds of a September Fed rate hike have fallen significantly — as long as oil stays around $80.
And this is where it gets interesting for traders.
Oil stays contained → inflation pressure eases → the Fed gets more room to stay patient.
If markets start pricing in a less hawkish Fed, the real question isn't simply whether rates go up.
It’s:
Where does liquidity move next?
BTC?
Nasdaq?
High-beta risk assets?
Because a small shift in rate expectations can trigger a much bigger repricing across risk markets.
For traders, $80 oil may be more than just a commodity level. It could become a macro trigger 👽👽👽
Jeremy Siegel, Professor Emeritus of Finance at Wharton and Chief Economist at WisdomTree, believes the odds of a September Fed rate hike have fallen significantly — as long as oil stays around $80.
And this is where it gets interesting for traders.
Oil stays contained → inflation pressure eases → the Fed gets more room to stay patient.
If markets start pricing in a less hawkish Fed, the real question isn't simply whether rates go up.
It’s:
Where does liquidity move next?
BTC?
Nasdaq?
High-beta risk assets?
Because a small shift in rate expectations can trigger a much bigger repricing across risk markets.
For traders, $80 oil may be more than just a commodity level. It could become a macro trigger 👽👽👽