- WTI is up 7c to $60.14/Bbl, and Brent is up 27c to $65.49/Bbl
- Oil prices are holding near three-month highs as last week’s U.S./China trade deal announcement continues to buoy the market
- WTI prompt month is currently at/near the highest level since late September
- WTI Calendar 20 is at the highest level since early July
- Hedge funds drastically increased their net-bullish position on WTI for the week ended December 10
- The reporting period includes the December 6 OPEC+ meeting where the cartel agreed to make deeper supply cuts
- The net-long position for speculators increased from 150,311 contracts to 228,425, a whopping 51% increase
- Bullish bets from funds have helped oil reach the upper-end of the multi-month trading range
- U.S. drillers increased oil-directed rigs by four to 667 last week, according to Baker Hughes
- The oil rig increase followed seven weekly declines
- Natural gas is up 2.1c to $2.317/MMBtu
- The CFTC reported long positions increased by 2,564 contracts to 115,641 total contracts
- Short positions increased by 18,559 contracts to 360,178 total contracts
- Long positions are 10,000 contracts away from the 52-week lows, short positions are less than 8,000 contracts away from 52-week highs
- U.S. natural-gas-directed rig count fell by four to 129 total rigs
- The biggest decline came in the Utica, which fell by 4 rigs, however the Marcellus also gained 4 rigs in the basin
- Other reductions came from the Barnett, Haynesville, and “Other” basins
- Elba Island has officially shipped its first commercial LNG cargo
- The company is in the process of commissioning Train 6 of 10
- LNG feed gas demand is coming in at 8.3 Bcf this morning
