The recent drop in stock prices has captured the attention of most investors. In a seemingly unrelated issue, a massive oversupply problem created a waterfall-like drop in the price of oil. It might appear that the performance of the S&P 500 and WTI is only coincidental, but history suggests otherwise.

From October 3, 2018, the S&P 500 is down 10.23%. In the same period, the price of West Texas Intermediate crude oil (WTI) is down 73.45%. From February 19, 2020, when the S&P 500 set its recent high, WTI is down 62.0% while the S&P 500 is down 26.25%.

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