Oil prices are mixed in early morning trading after strong across the board gains on Tuesday. Last night’s API oil inventory report showed builds in crude oil and gasoline with distillate fuel declining on the back of a cold weather reporting week.
Natural gas prices are being driven toward an upside breakout as an artic deep freeze challenges the nation. It also means that we will challenge record natural gas production and see how that will keep prices under control.
We start the New Year with the U.S. better supplied with oil than at any time in history. Now the market will focus on the demand side as we start the slow road back to normal markets after the extended holiday trade.