Natural Gas, WTI Oil, Brent Oil – Oil Markets Pull Back Amid Profit-Taking
- Natural gas is moving lower as weather forecasts remain unfavorable for high natural gas demand.
- Oil markets are losing ground as traders take profits near multi-week highs.
- It looks that oil traders want to reduce their risks ahead of tomorrow’s EIA report.
Natural gas declined below the $3.30 level as traders focused on weather forecasts, which have trended warmer for the end of the month. Yesterday, Freeport LNG announced that it asked U.S. regulators for the restart of the operation. The news provided temporary support to natural gas markets, but concerns about weak demand weighed on prices.
WTI oil pulled back belwo the $81 level as traders took some profits off the table above the recent rebound. It looks that WTI oil faced significant resistance near $82.50. Most likely, it will need additional catalysts to move above this level.
Brent oil has also found itself under material pressure in today’s trading session. While Brent oil was not overbought, it gained almost 15% from yearly lows, so traders’ desire to take some profits off the table is understandable.
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