🛢 Energy & Commodities risk-off · 0–6 months
A what‑if from the future

What if Wildfire shut-ins cut 0.5 mb/d of Canadian oil-sands output?

Boreal wildfires force precautionary shut-ins across Alberta oil-sands operations, removing about 0.5 mb/d of heavy crude; WCS discounts narrow and US Midwest refiners scramble for feedstock.

22%
our model probability
over 0–6 months
prediction markets — wisdom of the crowd
loading live odds…
Empirically anchored 22% · 90% range 8–36% · 40 analogues · measured class energy 52% in 6 mo · 3% held back for the unknown
how we built this number — every step
Measured class rate — energy ≈1.4869/yr → 52% in 6 mo52%
Analyst prior · editorial share 46% of the class24%
Pooled · weight 87%22%
Crowd — no liquid market
Reserve 3% · no extremizing (×1.0)22%
Published22%

The class rate is measured from our dated, sourced event library (decade-normalized Poisson — the full table is public at base_rates.json). The variant’s share within its class is the analyst’s editorial call, published so you can audit it. A wider range means thinner precedent. Full recipe: methodology · scored at Reality Check.

The butterfly cascade

How this trigger trickles across markets, left → right — the root shock, its first‑order moves, then the ripple effects. Drag any node; tap a market for its real price history.

Resolution timeline — how this probability is moving

Our model's odds (gold) over time vs the crowd's (Polymarket, blue), from the past toward the 0–6 months horizon. Each dot is a real macro event that nudged the probability — green pushed it up, red pushed it down. Tap a dot for the source. The gold path is an illustrative reconstruction anchored to today's estimate — real dated events, not a live re-estimate history.

loading the timeline…

What it would mean

If this plays out, it is a risk-off shock. Boreal wildfires force precautionary shut-ins across Alberta oil-sands operations, removing about 0.5 mb/d of heavy crude; WCS discounts narrow and US Midwest refiners scramble for feedstock. The trigger decomposes into signed root‑shocks — Climate/crop supply ▲ · Inflation surprise ▲ · Oil supply risk ▲ · Risk appetite ▼ — which propagate through our causal graph to the markets below.

If it happens — the markets it would move

Biggest moves first. Projected moves are cascade-model priors; hist A–B% = what comparable past events actually did (measured abnormal returns), and model prior · unmeasured marks markets with no analogue backing yet. Tap any market for its price history.

MarketClassProjected move
1Brent crude BRENTon Hyperliquid 📈 chartCommodity▲ +3.3%
hist +0.13–+2.29% · other way -1.15% (n=12)
2WTI crude CLon Hyperliquid 📈 chartCommodity▲ +2.8%
hist -1.38–+2.06% · other way +2.17% (n=12)
3Energy sector XLEon Hyperliquid 📈 chartEquity▲ +1.9%
hist +0.43–+1.77% · other way +0.47% (n=12)
4United Airlines UAL 📈 chartEquity▼ -1.6%
hist -2.38–+6.49% · other way +5.49% (n=12)
5ExxonMobil XOM 📈 chartEquity▲ +1.4%
hist -0.17–+2.32% · other way -2.14% (n=12)
6Chevron CVX 📈 chartEquity▲ +1.2%
hist +0.05–+1.57% · other way -0.11% (n=12)
7Delta DAL 📈 chartEquity▼ -1.4%
hist -1.21–+3.28% · other way +5.38% (n=12)
8MicroStrategy MSTRon Hyperliquid 📈 chartEquity▼ -0.7%
hist -2.63–+6.3% · other way +16.28% (n=12)
9Nasdaq 100 NDXon Hyperliquid 📈 chartIndex▼ -0.6%
hist -0.55–-0.1% · other way +0.13% (n=12)
1030y Treasury yield DGS30 📈 chartRate▲ +7bp
hist -3.66–+20.69% · other way +5.2% (n=12)
11Gold XAUon Hyperliquid 📈 chartCommodity▼ -0.6%
hist -0.45–-0.08% · other way +0.62% (n=12)
12Tech sector XLK 📈 chartEquity▼ -0.5%
hist -0.35–-0.16% · other way +0.17% (n=12)
1310y Treasury yield DGS10 📈 chartRate▲ +6bp
hist -3.15–+21.98% · other way +6.4% (n=12)
14Solana SOLon Hyperliquid 📈 chartCrypto▼ -0.5%
hist -0.56–+1.24% · other way -1.62% (n=10)

Probable recommendation

If the scenario above plays out, the probable cross‑asset positioning → a scenario‑conditional read, not personalized investment advice
Cash / hedgeRaise cash and hold the long hedges above; this scenario is net risk-off.
For a common-man portfolio: A typical stock-heavy portfolio is at risk. Consider trimming equities, raising cash, and a small cash hedge.
Also moves (not yet on Hyperliquid): United Airlines -1.6% · ExxonMobil +1.4% · Chevron +1.2% · Delta -1.4% · 30y Treasury yield +7bp · Tech sector -0.5%

Historical precedent — what analogous events actually did

Across 40 analogous events (overlap‑weighted), as abnormal returns — market beta stripped, so it's the event's own effect, not the market backdrop. Shown at 20 days (persistent) and 5 days (immediate); ↺ fades = the two horizons disagree. Confidence = consistency × sample × significance.

Gold peaks at $850 1980-01 Iran hostage crisis / US freezes Iranian assets 1979-11 1979 Iranian Revolution oil shock 1979-01 Israel strikes Iran — Operation Rising Lion 2025-06 Gold tops $3,000 for the first time amid tariff and rate-cut fears 2025-03 October 2024 Iranian ballistic-missile attack on Israel 2024-10 Niger coup d'etat 2023-07 Saudi-Russia oil price war 2020-03 North Korea sixth nuclear test 2017-09 North Korea 'fire and fury' nuclear scare 2017-08 OPEC abandons output defense, opting for market share vs US shale 2014-11 Egyptian revolution / Mubarak uprising 2011-01 Soviet August coup attempt against Gorbachev 1991-08 Chernobyl disaster 1986-04 1986 oil price collapse 1986-02 Silver Thursday 1980-03 Soviet invasion of Afghanistan 1979-12 Volcker Saturday Night Special 1979-10 Iranian Revolution oil shock 1978-12 Gold tops $4,000 and silver spikes past $50 in historic squeeze 2025-10 H5N1 bird flu record US egg prices 2025-04 China retaliates to Liberation Day: 34% tariffs + rare-earth controls 2025-04 Henry Hub natural gas falls to an all-time inflation-adjusted low on record output 2024-11 Hezbollah pager and device explosions across Lebanon 2024-09 Gold tops $2,500 for the first time on Fed rate-cut bets 2024-08 April 2024 Iranian drone-and-missile barrage on Israel 2024-04 Ukrainian drone strikes hit Russian refineries, lifting crude and gasoline 2024-03 Gabon coup d'etat 2023-08 Wagner Group mutiny against the Kremlin 2023-06 ExxonMobil posts most profitable year for any US oil company 2023-01 PJM grid emergency during Winter Storm Elliott 2022-12 Nord Stream pipeline sabotage 2022-09 August 2022 hot CPI 2022-09 Powell's hawkish 'pain' speech at Jackson Hole 2022-08 US-led 240-million-barrel SPR release answers the Ukraine spike 2022-03 Houthi drone-and-missile strike on Aramco's Jeddah depot 2022-03 Tin hits nominal record on LME above $48,000/t 2022-03 Russia invasion sends wheat to record high 2022-03 Burkina Faso coup d'etat 2022-01 Houthi drone-and-missile attack on Abu Dhabi oil sites lifts Brent to 7-year high 2022-01
AssetHistory saysAbnormal (20d · 5d)HitnConfidencevs cascade
USDJPY USDJPYLONG+1.8% · 5d +0.4%74%30 0.46✓ matches cascade
10y yield DGS10LONG+17bp · 5d +9bp66%40 0.32✓ matches cascade
DAL DALLONG+3.3% · 5d -0.2% ↺ fades68%30 0.31⚠ differs
HOOD HOODLONG+7.6% · 5d +0.2%69%25 0.31⚠ differs
UAL UALLONG+6.4% · 5d -0.1% ↺ fades65%30 0.26⚠ differs
COIN COINLONG+7.5% · 5d +1.4%65%25 0.25⚠ differs
Volatility VIXLONG+1.1% · 5d +2.0%64%31 0.24✓ matches cascade
High-yield credit HYGSHORT-0.7% · 5d -0.2%67%30 0.24·
30y yield DGS30LONG+16bp · 5d +8bp61%40 0.22✓ matches cascade
SOL SOLLONG+1.3% · 5d -6.6% ↺ fades65%25 0.19⚠ differs
ARM ARMSHORT-4.1% · 5d -6.4%64%11 0.17✓ matches cascade
MSTR MSTRLONG+6.2% · 5d -3.1% ↺ fades59%30 0.15⚠ differs
CL CLSHORT-2.5% · 5d -1.7%58%30 0.14⚠ differs
US dollar DXYLONG+0.4% · 5d +0.2%57%40 0.14✓ matches cascade

Methodology. Probability and impact are anchored to history and scored against what actually happens — wins and losses, in public, at Reality Check. Crowd odds live from Polymarket & Kalshi. By Vikas Singh, Quantitative Strategist. Updated 2026-07-03.