Ashutosh Sureka

Daniel Lacalle: Brent at $74 and WTI at $70 as disinflation accelerates

Daniel Lacalle: Brent at $74 and WTI at $70 as disinflation accelerates
Brent and WTI down as disinflation grows

Daniel Lacalle, chief economist and investment manager at Tressis Gestion, observes that Brent crude oil prices have reached $74 per barrel while WTI stands at $70.

Lacalle explains that the rapid and intense disinflation has led to a fast flattening of the forward curve, with significant drops on both ends. He projects that the June U.S. CPI could fall to or below 3.6%, with core inflation approaching 2.6%.

Earlier this year, Lacalle noted that the U.S. dollar index climbed above 100 as global demand for U.S. assets reached a record high. He has also argued that public spending is a key driver of inflation, rather than central banks. His recent comments on oil prices build on these perspectives.

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