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Editor's note: This is a brief excerpt from today's Morning Newsletter written by Hedgeye U.S. macro analyst Christian Drake.
- Energy State Decoupling: We’ve indexed both the National and Energy State series back to May of last year and have monitored the spread between the two indices in the wake of the oil price collapse. As can be seen in the Chart of the Day below the spread between the two series has held at around 15 points the last couple weeks. In short, the accelerating decline in oil prices since late September has coincided with a moderate acceleration in energy state initial jobless claims relative to the US as a whole. We’ll get the incremental update this morning at 8:30am.