OIL VS STOCKS Rarely has oil been so cheap compared to stocks. Indeed, while oil-to-stocks ratio isn't at a bottom level (the last one having been reached in 2020), it remains in the lower end of its long-term cycle, where the upside potential outpaces the downside risk. On the technical side, the ratio has recently bounced on its 7-year moving average, before correcting. Breakouts tend to follow such failed breakouts. I'd keep an eye on it, as high energy prices means higher inflation and higher interest rates, leading to lower valuation multiples for stocks... #OOTT $XOP $SPY