Hedge Funds Boost Oil Bets Before Maduro's Capture Amid Venezuela Tensions

• Hedge funds significantly increased bullish oil bets to their highest since November, preceding Nicolás Maduro's capture.
• Net-long positions on the US benchmark crude rose by 2,045 lots, marking the biggest gain in two months by Dec 30.
• Bullish positions on Brent crude also reached a four-week high, indicating strong market confidence.
• The surge in bets was fueled by speculation of imminent US land strikes and a clampdown on Venezuelan oil exports.
• Complications in Russia-Ukraine war talks, following Putin's drone claims, further limited investor confidence in global oil supply.

Why It Matters: Hedge funds ramped up oil bets, anticipating price hikes from Venezuelan and Russian geopolitical tensions.