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Market Close: Dec 23 Up

Fueling Strategy: Please fuel as needed today, tonight partial fill ONLY due to Thursday prices will drop 2 cents – Be Safe Today
NYMEX Crude    $  48.12 UP $1.1000
NYMEX ULSD     $1.4953 UP $0.0323
NYMEX Gas       $1.3820 UP $0.0425
NEWS
Prices rose more than 2% on Wednesday, boosted by draws in U.S. inventories of crude, gasoline and distillates that lifted investors’ hopes for some return in fuel demand. Brent Crude Future gained $1.12, or 2.24%, to settle at $51.20 per barrel, while WTI Crude futures settled 2.34%, or $1.10, higher at $48.12 per barrel.

U.S. crude inventories fell by 562,000 barrels in the week to Dec. 18 to 499.5 million barrels, the Energy Information Administration said on Wednesday. Gasoline stocks fell by a surprise 1.1 million barrels in the week to 237.8 million barrels, the EIA said, while distillate stockpiles fell by 2.3 million barrels in the week to 148.9 million barrels, more than expected. “Overall, what this report reflects is that we’re starting to see continued improvement in demand,” said Phil Flynn, senior analyst at Price Futures Group in Chicago. “It reflects that we’re seeing a market that’s getting more in balance.”

A falling U.S. dollar also supported prices. A weak greenback makes dollar-denominated commodities such as crude oil cheaper to holders of other currencies. Investors also kept an eye on Nigeria, where supply disruptions helped lift prices. Exxon Mobil Corp issued a force majeure on the Qua Iboe crude oil export terminal last week after a fire hit the facility and injured two workers. A source told Reuters production is expected to resume in early January. The stream was expected to load about 180,000 barrels per day (bpd) in December and 150,000 bpd in January.

Still, oil markets remain jittery about the future recovery of oil demand as a new, highly infectious variant of the novel coronavirus has hit Britain, prompting a slew of countries to shut their borders to the country. The number of Americans filing first-time claims for unemployment benefits unexpectedly fell last week, though remained elevated as more businesses faced restrictions and consumers hunkered down amid rising COVID-19 cases.

Have a Great Day,
Loren R Bailey, President
Fuel Manager Services Inc.
“Serving the trucking industry since 1992”
Office: 479-846-2761
Cell: 479-790-5581
www.FuelManagerServices.com
www.owneroperatoradvisoryservice.com
“To give real service you must add something which cannot be bought or measured with money, and that is sincerity and integrity.”
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.