Natural Gas, WTI Oil, Brent Oil – Oil Markets Move Higher After CPI Data

Key Insights

• Natural gas prices moved closer to the $4.00 level. 
• WTI oil and Brent oil gained ground as U.S. inflation reports met analyst expectations. 
• Oil markets are also supported by China demand hopes. 

Natural Gas

Today, natural gas traders focused on the EIA Weekly Natural Gas Storage Report. The report indicated that working gas in storage increased by 11 Bcf from the previous week, compared to analyst consensus of -13 Bcf. Natural gas continued to move higher after the release of the EIA data as traders focused on forecasts, which imply that weather may turn colder from January 23.

WTI Oil

WTI oil  continues to move higher as traders bet on rising demand from China. U.S. inflation data provided additional support to oil markets. A less hawkish Fed will be bullish for oil markets as lower interest rates will put less pressure on the economy.

Brent Oil

Brent oil is currently trying to settle above the 50 EMA at $84.55 as traders stay focused on the reopening of China’s economy. In case Brent oil manages to settle above this level, it will gain additional upside momentum and move towards the next resistance at $86.00.

For a look at all of today’s economic events, check out our economic calendar.