Crude/Nat Gas Morning Outlook 12/4/24

Good Morning...Early Nymex crude is trading steady/higher...The US Dollar Index is trading higher (106.54) and the Dow Jones futures are 180-200 pts higher. Crude futures continuing to gain upside momentum on news that OPEC's delay on raising production is looking to be in place. That along with further sanctions being placed on Iran which?includes some oil exports that have been going to other foreign countries under the radar which should curtail export volumes in the coming months. WTI futures have also seen some short covering by quantitative hedge funds and noted "buy stops" look to have been triggered above the $70.00/bbl area yesterday vs?the Jan futures.? The API released its storage data late yesterday which showed a 1.2 mil bbl increase in crude along with builds in the products. Still, storage in Cushing Okla. (Nymex delivery point) remains well below the 5-year average and front month WTI spreads (Jan/Feb and Feb/April have moved out to nearly + .40 cents keeping the backwardation structure in place which more times than not is more bullish than bearish. Jan WTI futures has moved back to a positive structure with next resistance at the 70.71 area. Support rests at the 50-day mov avg.

Early Nat Gas is Trading steady/lower...Like a broken record normal to above normal temps are a price negative to NG especially when storage sets nearly 7% above the five-year average. Implied demand is also running below the expectations set last week. That being said, we have a lot of winter in front of us and those demand numbers can change very quickly this time of year. The latest sell-off seems justified if current forecasts remain. However, funds have been re-building large shorts, which again can trip major short covering rallies. Technically Jan NG remains in a bearish structure with near term support at the 2.988 area, a close below targets the 2.80 area. Major resistance will be the 50 day mov avg (3.243)

Dennis Kissler

SVP/Trading Division

Commodity Risk Mgmt

BOK Financial (OK,TX,CO,AZ,NM,MO,AR)

[email protected] | [email protected]

Trade Desk 405.272.2026 Cell 405.203.8618

Please call the trading desk for live pricing and option strategies.? 405.272.2026

Our team:

Dennis Kissler - [email protected]

Michael Kuta - [email protected]

Matt Morrissey - [email protected]

Chris Johnston- [email protected]

Katy Germani - [email protected]

Cristina Stellar - [email protected]

? BOK Financial. Services provided by BOKF, NA. Member FDIC.

This notification statement is provided in good faith and for general information purposes only. It is also subject to change. It is not intended to be relied upon by any party as the basis for making any trading, hedging or investment decision. Any valuations shown represent our current indicative valuation of the relevant commodities at the date shown for the sole purpose of determining collateral requirements. Valuations have been derived from our own methodology (which is subject to change) or we have sourced such valuations from third parties. Any valuations should not be relied on for any other purpose including valuing transactions for the purpose of your financial books and records. ? Any valuations in this statement do not represent the terms at which new transactions or instruments could be entered into nor unwound. Any valuations in this statement do not constitute an offer (or solicitation of any offer) by us, nor does it represent the price at which we would be willing to purchase, sell, enter into, assign, lend, borrow, close out or settle the relevant transaction or security (or any similar transaction or security). Want to change how you receive these emails? You can subscribe to this email

Our mailing address is:

BOK Financial

1 Williams Center

Tulsa, Ok 74172