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Market Close: May 14 Mixed

Fueling Strategy: Please fill as needed today/tonight – Be Safe
NYMEX Crude       $  59.88 DN $.6200
NY Harbor ULSD    $2.0056 UP  $.0005
NYMEX Gasoline   $2.0575 UP  $.0170
NEWS

U.S. benchmark oil prices settled below $60 a barrel on Thursday for the first time in three sessions, pressured by market worries over a global glut of crude supplies and indications that oil producers will continue to boost output.

Natural-gas prices, finished above $3 per million British thermal units after a smaller-than-expected weekly increase in U.S. inventories.

June crude settled at $59.88 a barrel on the New York Mercantile Exchange, down 62 cents, or 1%. On London’s ICE Futures exchange, June Brent crude the global benchmark, ended down 22 cents, or 0.3%, a $66.59 a barrel. The June Brent contract expired Thursday. “The overall bearish supply situation still has not markedly changed, so market participants are looking at any price above $60 to sell” West Texas Intermediate oil, said Jason Rotman, president of Lido Isle Advisors. The $61-$62 area was very significant technical resistance that held nicely this week,” he said, adding that the next downside target is $56-$57.

The Energy Information Administration reported Wednesday that U.S. crude stockpiles fell for a second consecutive week but domestic oil production edged higher. Traders have been looking closing at the production data. The number of rigs actively drilling for oil have been falling all year, based on data from Baker Hughes and production levels were expected to eventually show significant declines. The EIA expects oil output from seven major U.S. shale plays to fall in June. But analysts have said that the recent rise in prices above $60 a barrel could spur some shale producers to restart output. 

A report Wednesday from the International Energy Agency renewed concern over the world’s oil glut. The agency said a global battle for market share between the Organization of the Petroleum Exporting Countries and non-OPEC producers is just getting started.

 

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.