Oil prices rose on Tuesday, rebounding from Monday’s losses amid a brighter short-term market outlook and thinning holiday trade. Brent crude climbed 88 cents (1.2%) to $73.51 a barrel, while WTI increased 91 cents (1.3%) to $70.15.
Analysts attributed the gains to expectations of steady prices during the holiday season and potential supply disruptions leading to upward price movements. FGE noted supportive supply-demand changes in December, while Sparta Commodities highlighted shifting 2025 oil balance forecasts, with the EIA now projecting a draw instead of a surplus.
Additional support came from China’s plan to issue $411 billion in special treasury bonds to stimulate its economy, bolstering demand prospects. Analysts predict WTI crude will find near-term support at $67 a barrel.
In the U.S., mixed economic data revealed weakened consumer confidence but stronger capital goods orders and rebounding home sales, signaling a solid economic foundation as the year ends.