Baker Hughes rig count
Oil rig count =10 to 425Natural Gas Rig cound -3 to 125Total rig count for the week +7 to 558
The price of crude oil is trading at $96.35 which is near unchanged on the day. The price remains below the 100 and 200 hour MA which is more bearish. Those MA come in near $100.74. The price before the February 28 start of the Iran War was near the low $60.
This week, U.S. crude oil inventories posted a much larger-than-expected draw this week, highlighting strong demand conditions and continued tightness in the physical oil market. Commercial crude stockpiles fell by 7.9 million barrels to 445 million barrels, marking the fourth consecutive weekly decline and leaving inventories about 2% below the five-year average. Analysts had expected only a 3 million barrel draw, making the report notably more bullish than anticipated.
The report also showed an aggressive release from the Strategic Petroleum Reserve, with the Department of Energy drawing down a record 9.9 million barrels in a single week. That reduced SPR holdings to 374.2 million barrels, among the lowest levels seen in decades, as part of broader international efforts to offset supply disruptions tied to tensions in the Persian Gulf.
At the key delivery hub in Cushing, Oklahoma, inventories declined by 1.6 million barrels to 25.8 million barrels, keeping stock levels relatively tight historically and helping support underlying crude prices.
On the supply side, U.S. crude production held steady at 13.7 million barrels per day. Imports edged higher by 116,000 bpd to 6 million bpd, while exports climbed another 112,000 bpd to a very strong 5.6 million bpd, reflecting continued robust global demand for U.S. crude.
Refinery activity remained elevated, although utilization slipped slightly to 91.6% from 91.7% the prior week. Crude refinery inputs dipped modestly to 16.3 million bpd, contrary to expectations for an increase.
Gasoline inventories also declined, falling by 1.5 million barrels to 214.2 million barrels, although the draw was smaller than the expected 2.7 million barrel decline. Gasoline stocks remain about 5% below the five-year average, while gasoline demand was little changed at 8.8 million bpd.
This article was written by Greg Michalowski at investinglive.com.