Russia is oversold. While Russia may not be the best longer term trading call, present conditions look oversold.
Petrobras (PBR, quote) stock on the move after earnings slump on higher import fuel costs. The stock has rocketed through the 200 day moving average this morning and hasn’t seen this type of strength through that average since January of 2012.
Taking a look at Gazprom (OGZPY, quote) versus Petrobras (PBR, quote). If 5 years ago you asked most investors globally which companies had the best chance to become the world’s first company to hit a $1 trillion market cap, Gazprom and Petrobras would have been in the top 3 or 4 names being bandied about.
OPEC deals in BRENT (BNO, quote) not WTI crude and this is the benchmark to watch if you think the Egypt situation is spiraling towards a Suez Canal shutdown. Additional middle east tension, Syria, Turkey, Iran…these all play into the supply disruption trade that really hasn’t taken place yet, but getting closer to breakout levels.
During the overnight Asian session crude oil began to lose its footing and accelerated its slide during the early morning U.S. session heading into the weekend. Crude oil continues to fall more than 2.75% as of this story despite better than expected Initial Jobless Claims report.