FGE analysts said they expect the benchmark prices will fluctuate around current levels in the near term "as activity in the paper markets decreases during the holiday season and market participants stay on the sidelines until they get a clearer view of 2024 and 2025 global oil balances."
Supply and demand changes in December have been supportive of their current less-bearish view so far, the FGE analysts said in a note.
"Given how short the paper market is on positioning, any supply disruption could lead to upward spikes in structure," they added.