What started out as a bear market rally in equities back in March, is now in the process of morphing into a full fledged rally. Sidelined money, disgruntled and dismayed that it has missed the bull’s party of the last two months, is now reluctantly piling back into the market.

Some of this money is finding its way onto the NYMEX. The Street has convinced itself the recession is over. Two months ago traders were buying because they wanted to “participate” in the equities rally before the bear market resumed. Today these same traders are spinning a dubious fundamental case because dour economic headlines, which the market receives nearly daily, are less bad. Thus, the crude oil bulls have hitched their wagon to the equities. And, they are going to continue to do so until it stops working for them.