Crude Oil Rally Stirs Inflation Fears as $90 Comes Into View

Crude oil prices are climbing in a pronounced five-wave bullish structure, bringing the $90 level into sharp focus. The move has revived market concerns that persistent energy costs could complicate the global inflation picture.

Asia-Pacific government bonds came under selling pressure as the rally highlighted the risk of stickier price growth. The sell-off in bonds reflects a recalibration of rate expectations just ahead of Wednesday’s U.S. Consumer Price Index data, which traders see as a pivotal moment for near-term monetary policy.

The technical pattern suggests the current uptrend has further room to run if the fifth wave completes without early reversal signals. However, much depends on whether inflation readings in the coming session reinforce or undercut the reflation narrative.

Market attention now pivots to the CPI print, which could either validate the commodity-driven inflation scare and propel oil toward new highs, or trigger a sharp repricing across energy and fixed income if the numbers come in cool.