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Fueling Strategy: Please “FUEL AS NEEDED” today/tonight, Prices are down 6 cents but will drop 2.5 cents Friday ~ Please Be Safe

NMEX Crude      $ 83.17 UP $1.8200

NYMEX ULSD     $2.6156 UP $0.0170

NYMEX Gas       $2.7611 UP $0.0764

Have a Great Day!

Loren R Bailey, President

Office: 479-846-2761

Cell: 479-790-5581

SCHEDULED OUT OF OFFICE  

JUN 06 VACATION LEAVE AFTER LUNCH

JUN 10 RETURN/ARRIVE 1300

Tell Us How We’re Doing On Google Business

https://g.page/r/CUyL9wDolv04EAI/review

As always, thank you so much for being a part of the Fuel Manager Services, Inc. family, and we look forward to making this the best year yet!

“Celebrating 31-years of Service Excellence”

www.FuelManagerServices.com

“Coming Together is the Beginning; Keeping Together is Progress; Working Together is Success”  ~ Henry Ford

Fueling Strategy: Please “PARTIAL FILL ONLY” today/tonight, Thursday prices will drop 6 cents THEN Friday look for another 2.5 cent drop ~ Please Be Safe

NMEX Crude      $ 81.35 DN $.2700

NYMEX ULSD     $2.5986 DN $.0232

NYMEX Gas       $2.6847 DN $.0159

NEWS

May WTI crude oil on Wednesday closed down -0.27, and May RBOB gasoline closed down -1.59. Crude and gasoline prices on Wednesday posted mild losses, with gasoline falling to a 1-1/2 week low.  A stronger dollar on Wednesday was bearish for energy prices.  Also, Wednesday’s weekly EIA report was mainly bearish after crude and gasoline inventories unexpectedly rose.  

Weakness in the crude crack spread was bearish for crude as the crack spread Wednesday dropped to a 2-1/2 week low.  The weaker crack spread discourages refiners from purchasing crude and refining it into gasoline and distillates.

Crude has support from the recent Ukrainian drone attacks on Russian refineries that damaged several Russian oil processing facilities, limiting Russia’s fuel exporting capacity.  Bloomberg calculations show Russian refiners processed 5.03 million bpd of crude during March 14-20, down -400,000 bpd from the average for the first 13 days of March and the lowest in 10 months.  JPMorgan Chase said it sees 900,000 bpd of Russian refinery capacity that could be offline “for several weeks if not months” from the attacks, adding $4 a barrel of risk premium to oil prices.

Have a Great Day!

Loren R Bailey, President

Office: 479-846-2761

Cell: 479-790-5581

SCHEDULED OUT OF OFFICE  

JUN 06 VACATION LEAVE AFTER LUNCH

JUN 10 RETURN/ARRIVE 1300

Tell Us How We’re Doing On Google Business

https://g.page/r/CUyL9wDolv04EAI/review

As always, thank you so much for being a part of the Fuel Manager Services, Inc. family, and we look forward to making this the best year yet!

“Celebrating 31-years of Service Excellence”

www.FuelManagerServices.com

“Coming Together is the Beginning; Keeping Together is Progress; Working Together is Success”  ~ Henry Ford

Fueling Strategy: Please “KEEP YOUR TANKS TOPPED” today/tonight, Wednesday prices will go UP 2.5 cents ~ Be Safe

NMEX Crude      $ 81.62 DN $.3300

NYMEX ULSD     $2.6218 DN $.0568

NYMEX Gas       $2.7006 DN $.0478

NEWS

May WTI crude oil on Tuesday closed down -0.33, and May RBOB gasoline closed down -4.78. Crude and gasoline prices on Tuesday closed moderately lower, with gasoline falling to a 1-week low.  A stronger dollar. Tuesday weighed on energy prices.  Also, an increase in Russian fuel exports is bearish for oil prices.  In addition, weakness in the crude crack spread is bearish for crude as the crack spread Tuesday fell to a 2-week low.

Tuesday’s US economic news was mixed for energy demand and crude prices.  On the negative side, the Conference Board’s Mar US consumer confidence index unexpectedly fell -0.1 to a 4-month low of 104.7, weaker than expectations of an increase to 107.0.  Also, the Mar Richmond Fed manufacturing survey unexpectedly fell -6 to -11, weaker than expectations of no change at -5.  On the positive side, Feb capital goods new orders non defense ex-aircraft and parts, a proxy for capital spending, rose +0.7% m/m, stronger than expectations of +0.1% m/m.

Crude has support from the recent Ukrainian drone attacks on Russian refineries that have damaged several Russian oil processing facilities, limiting Russia’s fuel exporting capacity.  Bloomberg calculations show Russian refiners processed 5.03 million bpd of crude during March 14-20, down -400,000 bpd from the average for the first 13 days of March and the lowest in 10 months.  JPMorgan Chase said it sees 900,000 bpd of Russian refinery capacity that could be offline “for several weeks if not months” from the attacks, adding $4 a barrel of risk premium to oil prices. However, the disruption to Russian refiners has yet to affect Russian fuel exports because of the large number of Russian ships at sea transporting crude.  Russia’s fuel exports in the week to March 24 rose +360,000 bpd from the prior week to 3.32 million bpd. Crude oil prices are seeing support from expectations that global crude supplies will remain tight as OPEC+ delegates are expected to keep crude production quotas unchanged when they meet next week.  Several OPEC delegates said they see no need to recommend changes to the group’s crude production levels.  OPEC+ will meet on April 3 to assess implementation of its crude output cuts, which are scheduled to remain in place through the end of June. OPEC+ announced on March 3 that it would extend its current crude production cuts of about 2 million bpd until the end of June.  The group said its crude production cuts will be “returned gradually subject to market conditions” after the second quarter.  However, OPEC Feb crude production rose +110,000 bpd to 26.680 million bpd, a bearish factor for oil prices as Iraq and UAE continue to pump above their production quotas.  

The recent strength of Chinese crude oil demand is bullish for prices.  Last Monday’s government data showed that China processed a record 118.76 MMT of crude in January and February, up +3% from the same time last year.  Also, Chinese fuel demand jumped, with expressway passenger volumes 54% higher than 2019 levels, while airlines saw 19% more people than the pre-pandemic peak.

Also, Vortexa said on March 4 that OPEC+ compliance with crude production cuts is still “questionable.”  Vortexa said that Russian oil exports were about 500,000 bpd above the OPEC+ commitments, and there are “little indications that Russia is actively cutting either crude production or exports.”  Bloomberg reported last Tuesday that Russia’s seaborne crude oil exports in the week ended March 10 rose +590,000 bpd and that Russia’s flows were 420,000 bpd above Russia’s pledge.

Crude prices have underlying support from the Israel-Hamas war and concern that all-out war might spread to Lebanon.  Hezbollah and Israel have traded fire almost daily since the Israel-Hamas war erupted on October 7.  Also, the US and UK have engaged in airstrikes against Houthi rebels in Yemen in retaliation for Houthi attacks on commercial shipping in the Red Sea.  Attacks on commercial shipping in the Red Sea by Iran-backed Houthi rebels have forced shippers to divert shipments around the southern tip of Africa instead of going through the Red Sea, disrupting global crude oil supplies.

An increase in crude in floating storage is bearish for prices.  Monday’s weekly data from Vortexa showed that the amount of crude oil held worldwide on tankers that have been stationary for at least a week rose +0.1% w/w to 74.72 million bbl as of March 22. The consensus is that Wednesday’s weekly EIA crude inventories will fall by -1.0 million bbl, and EIA gasoline supplies will fall by -1.7 million bbl. Last Wednesday’s EIA report showed that (1) US crude oil inventories as of March 15 were -2.8% below the seasonal 5-year average, (2) gasoline inventories were -2.4% below the seasonal 5-year average, and (3) distillate inventories were -5.0% below the 5-year seasonal average.  US crude oil production in the week ending March 15 was unchanged w/w at 13.1 million bpd, below the recent record high of 13.3 million bpd.

Baker Hughes reported last Friday that active US oil rigs in the week ended March 22 fell by -1 rig to 509 rigs, moderately above the 2-year low of 494 rigs posted on November 10.  The number of US oil rigs has fallen over the past year from the 3-3/4 year high of 627 rigs posted in December 2022.

Have a Great Day!

Loren R Bailey, President

Office: 479-846-2761

Cell: 479-790-5581

SCHEDULED OUT OF OFFICE  

JUN 06 VACATION LEAVE AFTER LUNCH

JUN 10 RETURN/ARRIVE 1300

Tell Us How We’re Doing On Google Business

https://g.page/r/CUyL9wDolv04EAI/review

As always, thank you so much for being a part of the Fuel Manager Services, Inc. family, and we look forward to making this the best year yet!

“Celebrating 31-years of Service Excellence”

www.FuelManagerServices.com

“Coming Together is the Beginning; Keeping Together is Progress; Working Together is Success”  ~ Henry Ford

Fueling Strategy: Please “PARTIAL FILL ONLY” today/tonight, Prices are down 6 cents today BUT will continue to drop another 3 cents Saturday & 1.5 cents Sunday ~ Please Be Safe

NMEX Crude      $ 80.63 DN $.4400

NYMEX ULSD     $2.6534 DN $.0154

NYMEX Gas       $2.7398 UP $.0127

NEWS

May WTI crude oil closed down -0.44, and May RBOB gasoline closed up  +1.27. Crude oil and gasoline prices this morning are mixed.  Energy prices are under pressure from the rally in the dollar index to a 5-week high.  Losses in crude are limited as recent Ukranian drone attacks on Russian oil facilities have reduced Russia’s average oil refining rate to a 10-month low.  

Crude has support from the recent Ukrainian drone attacks on Russian refineries that damaged several Russian oil processing facilities, limiting Russian fuel export prospects.  Bloomberg calculations show Russian refiners processed 5.03 million bpd of crude from March 14 to March 20, down -400,000 bpd from the average for the first 13 days of March and the lowest in 10 months.  JPMorgan Chase said it sees 900,000 bpd of Russian refinery capacity that could be offline “for several weeks if not months” from the attacks, adding $4 a barrel of risk premium to oil prices.

The recent strength of Chinese crude oil demand is bullish for prices.  Monday’s government data showed that China processed a record 118.76 MMT of crude in January and February, up +3% from the same time last year.  Also, Chinese fuel demand jumped, with expressway passenger volumes 54% higher than 2019 levels, while airlines saw 19% more people than the pre-pandemic peak.

The International Energy Agency (IEA) last Thursday forecasted that the global oil markets will be in a deficit through the end of 2024 if OPEC+ maintains its current production cuts, although the balance would turn into a surplus if OPEC+ starts pumping more oil.  OPEC+ will meet on June 1 to decide on production levels for the second half of 2024.  The IEA also raised its forecast for global crude oil demand growth in 2024 by 110,000 bpd to 1.3 million bpd due to a stronger US economic outlook and the increased fuel needed for ships to take longer routes to avoid Houthi attacks in the Red Sea.

Have a Great Day!

Loren R Bailey, President

Office: 479-846-2761

Cell: 479-790-5581

SCHEDULED OUT OF OFFICE  

JUN 06 VACATION LEAVE AFTER LUNCH

JUN 10 RETURN/ARRIVE 1300

Tell Us How We’re Doing On Google Business

https://g.page/r/CUyL9wDolv04EAI/review

As always, thank you so much for being a part of the Fuel Manager Services, Inc. family, and we look forward to making this the best year yet!

“Celebrating 31-years of Service Excellence”

www.FuelManagerServices.com

“Coming Together is the Beginning; Keeping Together is Progress; Working Together is Success”  ~ Henry Ford

Fueling Strategy: Please “PARTIAL FILL ONLY” today/tonight, Friday prices will drop 6 cents ~ Please Be Safe

NMEX Crude      $ 81.07 DN $.2000

NYMEX ULSD     $2.6688 DN $.0269

NYMEX Gas       $2.7271 DN $.0061

NEWS

May WTI crude oil on Thursday closed down -0.25 (-0.31%), and May RBOB gasoline closed down -0.71 (-0.26%). Crude oil and gasoline prices Thursday settled moderately lower as a stronger dollar undercut energy prices.  Also, technical selling weighed on crude as prices neared overbought levels after climbing to a 4-1/2 month high on Tuesday.  Losses in crude were limited as Thursday’s rally in the S&P 500 to a new record high shows optimism in the economic outlook that is bullish for energy demand.

Thursday’s US economic news was stronger than expected, supporting energy demand and crude prices.  Weekly initial unemployment claims unexpectedly fell -2,000 to 210,000, showing a stronger labor market than expectations of an increase to 213,000.  Also, the Mar S&P U.S. manufacturing PMI unexpectedly rose +0.3 to a 1-3/4 year high of 52.5, stronger than expectations of a decline to 51.8.  In addition, Feb existing home sales unexpectedly rose +9.5% m/m to a 1-year high of 4.38 million, stronger than expectations for a decline to 3.95 million.

Crude has support from the recent Ukrainian drone attacks on Russian refineries that damaged several Russian oil processing facilities, limiting Russian fuel export prospects.  JPMorgan Chase said it sees 900,000 bpd of Russian refinery capacity that could be offline “for several weeks if not months” from the attacks, adding $4 a barrel of risk premium to oil prices.

Have a Great Day!

Loren R Bailey, President

Office: 479-846-2761

Cell: 479-790-5581

SCHEDULED OUT OF OFFICE  

JUN 06 VACATION LEAVE AFTER LUNCH

JUN 10 RETURN/ARRIVE 1300

Tell Us How We’re Doing On Google Business

https://g.page/r/CUyL9wDolv04EAI/review

As always, thank you so much for being a part of the Fuel Manager Services, Inc. family, and we look forward to making this the best year yet!

“Celebrating 31-years of Service Excellence”

www.FuelManagerServices.com

“Coming Together is the Beginning; Keeping Together is Progress; Working Together is Success”  ~ Henry Ford

Fueling Strategy: Please “PARTIAL FILL ONLY” today/tonight, Thursday prices will drop 3 cents ~ Please Be Safe

NMEX Crude      $ 81.68 DN $1.7900

NYMEX ULSD     $2.6957 DN $0.0650

NYMEX Gas       $2.7332 DN $0.0290

Have a Great Day!

Loren R Bailey, President

Office: 479-846-2761

Cell: 479-790-5581

SCHEDULED OUT OF OFFICE  

JUN 06 VACATION LEAVE AFTER LUNCH

JUN 10 RETURN/ARRIVE 1300

Tell Us How We’re Doing On Google Business

https://g.page/r/CUyL9wDolv04EAI/review

As always, thank you so much for being a part of the Fuel Manager Services, Inc. family, and we look forward to making this the best year yet!

“Celebrating 31-years of Service Excellence”

www.FuelManagerServices.com

“Coming Together is the Beginning; Keeping Together is Progress; Working Together is Success”  ~ Henry Ford

Fueling Strategy: Please “KEEP YOUR TANKS TOPPED” today/tonight, Wednesday prices will go UP 6 cents ~ Be Safe

NMEX Crude      $ 83.47 UP $.7500

NYMEX ULSD     $2.7607 DN $.0275

NYMEX Gas       $2.7622 UP $.0049

NEWS

April WTI crude oil closed up +0.75, and Apr RBOB gasoline closed up +0.0049 and ULSD closed down $.0275. Crude oil and gasoline prices today are mixed, with crude climbing to a 4-1/2 month high.  Ukrainian drone attacks on Russian refineries over the weekend damaged several Russian oil processing facilities, limiting Russian fuel export prospects.  JPMorgan Chase said it sees 900,000 bpd of Russian refinery capacity that could be offline “for several weeks if not months” from the attacks, adding $4 a barrel of risk premium to oil prices.  Crude oil and gasoline prices were undercut by today’s rise in the dollar index rose to a 2-week high.

Better-than-expected global economic news today is supportive of energy demand and crude prices.  US Feb housing starts rose +10.7% m/m to 1.521 million, stronger than expectations of 1.440 million.  Also, the German Mar ZEW expectations of economic growth survey rose +11.8 to a 2-year high of 31.7, stronger than expectations of 20.5.

The recent strength of Chinese crude oil demand is bullish for prices.  Monday’s government data showed that China processed a record 118.76 MMT of crude in January and February, up +3% from the same time last year.  Also, Chinese fuel demand jumped, with expressway passenger volumes 54% higher than 2019 levels, while airlines saw 19% more people than the pre-pandemic peak.

Have a Great Day!

Loren R Bailey, President

Office: 479-846-2761

Cell: 479-790-5581

SCHEDULED OUT OF OFFICE  

JUN 06 VACATION LEAVE AFTER LUNCH

JUN 10 RETURN/ARRIVE 1300

Tell Us How We’re Doing On Google Business

https://g.page/r/CUyL9wDolv04EAI/review

As always, thank you so much for being a part of the Fuel Manager Services, Inc. family, and we look forward to making this the best year yet!

“Celebrating 31-years of Service Excellence”

www.FuelManagerServices.com

“Coming Together is the Beginning; Keeping Together is Progress; Working Together is Success”  ~ Henry Ford

Fueling Strategy: Please “FUEL AS NEEDED” today/tonight ~ Be Safe

NMEX Crude      $ 82.72 UP $1.6800

NYMEX ULSD     $2.7882 UP $0.0612

NYMEX Gas       $2.7573 UP $0.0365

NEWS

April WTI crude oil on Monday closed up +1.68 (+2.07%), and Apr RBOB gasoline closed up +3.86 (+1.43%). Crude oil and gasoline prices on Monday moved higher, with crude posting a 4-1/2 month high and gasoline posting a 5-month high.  Signs of strength in Chinese crude demand pushed prices higher Monday after China processed a record volume of oil in the first two months of this year.  Also, Ukrainian drone attacks on Russian refineries over the weekend damaged several Russian oil processing facilities, limiting Russian fuel export prospects.  Gunover Group estimates about 600,000 bpd of Russian oil-refining capacity has been knocked out by the Ukrainian drone strikes.

The strength of Chinese crude oil demand is bullish for prices.  Monday’s government data showed that China processed a record 118.76 MMT of crude in January and February, up +3% from the same time last year.  Also, Chinese fuel demand jumped, with expressway passenger volumes 54% higher than 2019 levels, while airlines saw 19% more people than the pre-pandemic peak.

Monday’s global economic news was supportive of energy demand and crude prices.  The US Mar NAHB housing market index unexpectedly rose +3 to an 8-month high of 51, stronger than expectations of no change at 48.  Also, China’s industrial production rose +7.0% year-to-date y/y, stronger than expectations of +5.2% year-to-date y/y.

Monday’s rise in the crude oil crack spread to a 6-month high is bullish for crude prices.  The stronger crack spread encourages refiners to boost their crude oil purchases to refine into gasoline and distillates.

Have a Great Day!

Loren R Bailey, President

Office: 479-846-2761

Cell: 479-790-5581

SCHEDULED OUT OF OFFICE  

JUN 06 VACATION LEAVE AFTER LUNCH

JUN 10 RETURN/ARRIVE 1300

Tell Us How We’re Doing On Google Business

https://g.page/r/CUyL9wDolv04EAI/review

As always, thank you so much for being a part of the Fuel Manager Services, Inc. family, and we look forward to making this the best year yet!

“Celebrating 31-years of Service Excellence”

www.FuelManagerServices.com

“Coming Together is the Beginning; Keeping Together is Progress; Working Together is Success”  ~ Henry Ford

Fueling Strategy: Please “KEEP YOUR TANKS TOPPED TODAY/TONIGHT” Prices will go UP 2.5 cents Saturday then Sunday look for prices to go UP another 2 Cents ~ Be Safe

NMEX Crude      $ 81.04 DN $.2200

NYMEX ULSD     $2.7270 UP $.0182

NYMEX Gas       $2.7208 UP $.0175

NEWS

Oil held steady near a four-month high as extended production cuts from OPEC and its allies boosted expectations that the crude market is headed toward a deficit. Western Texas Intermediate edged lower but still settled above $81, capping a 3.8% gain for the week. The recent rally accelerated after crude crossed its 200-day moving average of about $78.13, potentially drawing in traders seeking to benefit from oil’s momentum.

“CTA trend followers’ buying activity has buoyed the commodities complex,” said Daniel Ghali, a commodity strategist at TD Securities. “Current price action is more likely tied to speculative positioning than fundamentals.”

Crude rallied this week after US stockpiles dropped for the first time since January and the International Energy Agency warned of a supply deficit for the year, reversing a forecast for a surplus. Geopolitical tensions also remain high after Ukraine attacked another Russian refinery.  Potential headwinds to another leg higher in the rally include rising non-OPEC supply and softer physical markets as refineries go through seasonal maintenance.

Have a Great Day!

Loren R Bailey, President

Office: 479-846-2761

Cell: 479-790-5581

SCHEDULED OUT OF OFFICE  

JUN 06 VACATION LEAVE AFTER LUNCH

JUN 10 RETURN/ARRIVE 1300

Tell Us How We’re Doing On Google Business

https://g.page/r/CUyL9wDolv04EAI/review

As always, thank you so much for being a part of the Fuel Manager Services, Inc. family, and we look forward to making this the best year yet!

“Celebrating 31-years of Service Excellence”

www.FuelManagerServices.com

“Coming Together is the Beginning; Keeping Together is Progress; Working Together is Success”  ~ Henry Ford

Fueling Strategy: Please “KEEP YOU TANKS TOPPED TODAY/TONIGHT” Prices will go UP 7 cents Friday then 2.5 Saturday ~ Be Safe

NMEX Crude      $ 81.26 UP $1.5400

NYMEX ULSD     $2.7088 UP $0.0237

NYMEX Gas       $2.7033 UP $0.0418

NEWS

April WTI crude oil on Thursday closed up +1.54 (+1.93%), and Apr RBOB gasoline closed +4.18 (+1.57%). Oil prices rallied on Thursday’s IEA’s report, which said the oil markets face a supply deficit for the remainder of this year due to OPEC+ production cuts.  Oil prices added to Wednesday’s gains, which were sparked by the bullish US EIA weekly inventory report and Ukrainian drone strikes on three Russian refineries.

The International Energy Agency (IEA) Thursday forecasted that the global oil markets will be in a deficit through the end of 2024 if OPEC+ maintains its current production cuts, although the balance would turn to a surplus if OPEC+ starts pumping more oil.  OPEC+ will meet on June 1 to decide on production levels for the second half of 2024.  The IEA also raised its forecast for global crude oil demand growth in 2024 by 110,000 bpd to 1.3 million bpd due to a stronger US economic outlook and the increased fuel needed for ships to take longer routes to avoid Houthi attacks in the Red Sea. Wednesday’s weekly EIA was bullish after crude oil inventories fell -1.54 million bbl versus expectations for a 1.0 million bbl build.  Also, gasoline inventories fell -5.66 million bbl, a larger decline than expectations of -2.2 million bbl.  In a partially offsetting bearish factor, distillate inventories rose +888,000 versus expectations for a decline of -1.05 million bbl.

Oil prices were undercut Tuesday after the US DOE Energy Information Administration (EIA), in its Short-Term Energy Outlook, forecasted that US crude oil production in 2024 will rise +2.0% y/y to 13.19 million bpd, +0.7% higher than the previous projection of 13.10 million bpd.  The EIA is predicting that US oil production in 2025 will increase by +3.5% y/y to 13.65 million bpd, 1.2% higher than the previous forecast.  Higher US production would at least partially offset OPEC+ production cuts.  The EIA is forecasting a global oil deficit of 260,000 bpd this year, but a surplus of 360,000 bpd in 2025.

OPEC, in its monthly report released on Tuesday, kept its forecasts roughly unchanged for oil supply and demand in 2023 and 2024. OPEC is still forecasting that world oil consumption in 2024 will increase by a “robust” 2.2 million bpd (+2.2%) to a record 104.5 million bpd.  OPEC noted in its report that OPEC+ has not met its agreed-upon production cut due in part to overproduction by Iraq. OPEC+ announced on March 3 that it would extend its current crude production cuts of about 2 million bpd until the end of June.  The group said its crude production cuts will be “returned gradually subject to market conditions” after the second quarter.  However, OPEC Feb crude production rose +110,000 bpd to 26.680 million bpd, a bearish factor for oil prices as Iraq and UAE continue to pump above their production quotas. Also, Vortexa said on March 4 that OPEC+ compliance with crude production cuts is still “questionable.”  Vortexa said that Russian oil exports were about 500,000 bpd above the OPEC+ commitments, and there are “little indications that Russia is actively cutting either crude production or exports.”  Bloomberg reported on Tuesday that Russia’s seaborne crude oil exports in the week ended March 10 rose +590,000 bpd and that Russia’s flows were 420,000 bpd above Russia’s pledge.

Crude prices have underlying support from the Israel-Hamas war and concern that all-out war might spread to Lebanon.  Hezbollah and Israel have traded fire almost daily since the Israel-Hamas war erupted on Oct 7.  Also, the US and UK have engaged in airstrikes against Houthi rebels in Yemen in retaliation for Houthi attacks on commercial shipping in the Red Sea.  Attacks on commercial shipping in the Red Sea by Iran-backed Houthi rebels have forced shippers to divert shipments around the southern tip of Africa instead of going through the Red Sea, disrupting global crude oil supplies.

A decline in crude in floating storage is bullish for prices.  Monday’s weekly data from Vortexa showed that the amount of crude oil held worldwide on tankers that have been stationary for at least a week fell -8.1% w/w to 69.01 million bbl as of March 1.

Wednesday’s EIA report showed that (1) US crude oil inventories as of March 8 were -2.6% below the seasonal 5-year average, (2) gasoline inventories were -2.6% below the seasonal 5-year average, and (3) distillate inventories were -7.3% below the 5-year seasonal average.  US crude oil production in the week ending March 8 fell -0.8% w/w to 13.1 million bpd, below the recent record high of 13.3 million bpd.

Baker Hughes reported last Friday that active US oil rigs in the week ended March 8 fell by -2 rigs to 504 rigs, modestly above the 2-year low of 494 rigs posted on Nov 10.  The number of US oil rigs has fallen over the past year from the 3-3/4 year high of 627 rigs posted in December 2022.

Have a Great Day!

Loren R Bailey, President

Office: 479-846-2761

Cell: 479-790-5581

SCHEDULED OUT OF OFFICE  

JUN 06 VACATION LEAVE AFTER LUNCH

JUN 10 RETURN/ARRIVE 1300

Tell Us How We’re Doing On Google Business

https://g.page/r/CUyL9wDolv04EAI/review

As always, thank you so much for being a part of the Fuel Manager Services, Inc. family, and we look forward to making this the best year yet!

“Celebrating 31-years of Service Excellence”

www.FuelManagerServices.com

“Coming Together is the Beginning; Keeping Together is Progress; Working Together is Success”  ~ Henry Ford

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