WTI crude oil (CL) pushes above $70 and approaches the resistance zone at $72 during holiday trading. The energy market faces mixed signals. While stimulus in China boosts crude consumption, geopolitical tensions and potential shifts in energy policies contribute to volatility. Despite recent gains in December, crude oil recorded a slight annual loss in 2024.

On the other hand, natural gas (NG) prices remain volatile as the market balances increased winter demand against ample storage levels. The U.S. Energy Information Administration (EIA) reports 3,529 Bcf in working gas storage, 166 Bcf above the five-year average, as shown in the chart below. This surplus offers a cushion, but the potential for record heating demand keeps the market on edge. A net decrease of 93 Bcf from the previous week highlights the typical seasonal drawdowns. While storage levels appear comfortable, they do not fully alleviate concerns about winter supply.