Crude oil markets traded flat in thin pre-Christmas trading as investors continued balancing two dominant factors influencing prices this year: escalating geopolitical tensions and widely anticipated global oversupply.

WTI crude dipped 3 cents to settle near $58 per barrel, snapping a five-day winning streak. Market participants monitored potential supply disruptions from Venezuela as the Trump administration intensified pressure on the country.

"The Caribbean turmoil remains the market's focal point heading into the holiday weekend," said Dennis Kissler, senior vice president of trading at BOK Financial Securities Inc. He noted that while sanctions and blockades haven't reduced global supply, potential delivery delays could provide some price support.

WTI remains on track for its worst annual decline since 2020, with nearly all major crude traders expecting oversupply in 2020 as OPEC+ members and other producers boost output. However, supply disruption concerns—particularly from Russia and Venezuela—continue providing a price floor.

The U.S. Energy Information Administration (EIA) will release its weekly petroleum status report on December 29, covering data through December 19.

WTI February futures declined 3 cents to settle at $58.35 per barrel, while Brent February futures fell 14 cents to $62.24 per barrel.