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Market Close: Dec 06 Down

Fueling Strategy: Please partial fill today/tonight, Friday prices will drop back down 1.5 cents – Be Safe Today
NYMEX Crude    $ 51.49 DN $1.4000
NYMEX ULSD     $1.8582 DN $0.0304
NYMEX Gas       $1.4334 DN $0.0122
NEWS

Crude-oil prices settled sharply lower Thursday, after OPEC failed to offer details on its expected production cut, opting to wait until after it meets with other producers Friday. Growing concerns that oil producers won’t reach an agreement to aggressively reduce output has also weighed on prices, but U.S. government data revealing the first decline in domestic crude supplies in 11 weeks did offer a brief respite in prices from the session’s lows.

The large draw in U.S. crude stockpiles was “surprising,” but the data also showed production held up at a record, said Tariq Zahir, managing member at Tyche Capital Advisors. The market’s focus remains on OPEC, he added.

No decision from OPEC yet

Members of the Organization of the Petroleum Exporting Countries have concluded their meeting in Vienna, without deciding on output-cut figures, the Wall Street Journal reported, citing comments from OPEC delegates. The delegates also said OPEC plans to debate output figures with non-OPEC producers during their meeting Friday. Oil prices were under pressure, “somewhat reflecting the selloff in stocks, some reflecting skepticism OPEC will come through with sufficient production cuts to support prices,” said Rob Haworth, senior investment strategist at U.S. Bank. “U.S. production remains robust, although if prices remain close to these low levels production growth could falter. For now, we believe prices [will] remain under pressure, even if OPEC can come through with production cuts,” he said.

The cartel is under pressure to support prices, which have fallen by more than 30% since reaching multiyear highs in October.

Have a Great Day,
Loren R Bailey, President
FMS Management Group LLC
Office: 479-846-2761
Cell: 479-790-5581
“We Do It Right The First Time”
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Categories: Fuel News
loren: Fuel Manager Services Inc. "Serving the trucking industry since 1992" I've been in and around the trucking industry for 45-years beginning in owner operator operations at Willis Shaw Express. I bought a small trucking company that I ran for 6-years then sold and went to work for J.B. Hunt Transport in 1982. After 10-years with Hunt, I started Fuel Manager Services, Inc., we are in our 29th year of serving the American trucking companies. Our simple goal was and is to bridge the gap between the trucking companies and the fuel suppliers.