A Lose-Lose? Crude Spike vs. Buried Equity Volatility Subdued US stock market volatility may have found a worthy spark for recovery, with deflationary implications. US stock-market capitalization was down about $3 trillion year to date to April 2, representing almost 10% of GDP -- the largest for a comparable 3.5% decline in the S&P 500 in about a century. The closing of the Strait of Hormuz and the global energy crisis arrived with US stocks near a 100-year high vs. GDP and S&P 500 180-day volatility hovering near its lowest in a decade -- suggesting echoes of 9/11 and 2008. Crude’s pump-then-dump patterns in 2000 and 2008 highlight how spiking oil can become its own worst enemy, triggering post-inflation deflation. My analysis features the surge in December WTI crude futures juxtaposed with S&P 500 volatility, which is rebounding from support that has held since 2018. Full report on the Bloomberg here: https://blinks.bloomberg.com/news/stories/tct82ikiupts {BI COMD} #crudeoil #stockmarket @BBGIntelligence(Mike McGlone)