Friday, September 5, 2008

Spooky chart

The blue line is WTI crude, November 2006 to date

The red line is the Nasdaq index overlaid on the chart with its now infamous peak in early 2000 (and before you ask, the timescale is 1:1 and has not been stretched or compressed in any way).

The correlation between the two lines is 96.65%, according to the guy who sent me this last night (he sent it as an Excel file and the numbers do seem to check out correctly. FWIW I regenerated this chart to check them myself.).