Hedge funds have dramatically reduced their bearish positions on Brent crude oil, cutting short-only bets by 47,977 lots to 91,222, the largest reduction since December 2016. This shift comes amid a broader increase in bullish sentiment, with speculators raising their net-long positions in Brent and WTI oil by 117,227 to a total of 263,135, marking the most bullish outlook in ten weeks. As of October 12, Brent crude prices have risen above $79 per barrel, reflecting an increase of nearly 8% for the month. In contrast, U.S. natural gas futures have seen a decline, with prices falling 8% to $2.63 for the week ending October 11, as the market adjusts post-hurricane. The 12-month spread for natural gas increased by $0.09, indicating a more complex market dynamic. Overall, while the sentiment for oil is improving, natural gas positions are showing signs of volatility and reduced urgency for supply.