Following the Ukraine invasion, dollar-oil correlation flipped from negative to positive because the US became the world's dominant hydrocarbon supplier (both oil and coal), making oil price increases beneficial for the US economy and dollar strength rather than harmful as under the old petrol dollar model.
causalpending
Speaker
Paul SankiEvidence Quote
“if you look since the Russian invasion of Ukraine which makes perfect sense...you actually flip from a negative correlation of oil to the dollar to a positive correlation because the massively increased unintended consequence of Putin's invasion was to make the US the dominant hydrocarbon supplier in the world”
Source
'Never Before Seen' Oversupply Of Oil To Collapse Crude Price? | Doomberg & Paul Sankey— David LinCreated: 8/12/2026, 6:45:10 PM
My Notes
Loading notes...