Coquest

Your Daily Energy Report for December 19, 2025

Posted on 2025-12-19

Crude Oil

Crude Oil futures for January settled up $.51 or .908% at $56.66. Oil prices raised this Friday, yet the market remains paced for a second consecutive weekly drop as persistent oversupply concerns overshadow immediate geopolitical risks. Prices recently touched their lowest thresholds in nearly five years, pressured by the anticipation of surplus barrels as OPEC+ reintroduces shut-in capacity alongside rising output from non-OPEC nations. This bearish sentiment is compounded by emerging demand weakness in major hubs like the US and China, contributing to a total year-to-date decline of roughly 20%. While escalating geopolitical tensions have provided a floor against deeper losses, the US has aggressively restricted sanctioned maritime activity following the seizure of a blacklisted Venezuelan vessel. Simultaneously, both the US and the UK are tightening the screws on Russia’s energy sector through new sanctions against smaller producers to influence regional peace efforts.

​​​​​Natural Gas

Natural Gas futures for January settled up $.076 or 1.945% at $3.984. Natural gas prices increased today, as market participants grapple with the conflicting influences of oversold technical conditions and persistent bearish fundamentals. The prevailing mild weather patterns expected through the Christmas holiday have significantly dampened heating demand, effectively capping any potential price rallies. Although the recent EIA storage draw of -167 Bcf surpassed the five-year average, it still fell short of analyst expectations, providing little incentive for a sustained bullish reversal. Adding to the downward pressure, domestic production continues to hold at robust levels near 113 Bcf/day while LNG export demand has shown recent signs of cooling.
​​​​
Continue reading the full Coquest Daily Report.

---