Big fall in rig counts from Baker Hughes
Baker Hughes is out with their weekly rig count changes:
- oil rigs 562 versus 624 last week. Estimate 616.
- gas rigs 100 versus 102 last week.. Estimate 100.
- total rigs 664 versus 728 last week. Estimate 720
The oil rigs are at the lowest level since January 2017.
The sudden tumble and oil prices hurting the overleveraged oil producers in the US. Whiting Petroleum filed for Chapter 11 bankruptcy protection this week. How sad. However, that sadness was tempered when it was reported that before filing, $14.6 million was paid to execs of the firm. How mad....GRRRRR.
Crude oil is currently trading up $1.72 or 6.79% at $27.03. The high today reached $28.56 while the low extended to $23.52. The price of crude oil has been rising over the last few days (including a record percentage increase yesterday) on the back of a potential production cutback involving US, Saudi Arabia, Russia. Nevertheless at $27 a barrel or $30 a barrel or $35 a barrel, producers will likely still be under pressure.
Russia will partake in a OPEC+ teleconference meeting on Monday.
