Market OverviewOil and natural gas markets continue to trade largely on geopolitical supply threats and inventory trends.
With the Strait of Hormuz still on near-shutdown as of the 11th week of the U.S.-Iran confrontation, about 20% of global seaborne crude supply has been lost.
Iraqi crude exports are down as much as 90% as broader Persian Gulf shipments operate at a fraction of normal volumes, and stalled diplomacy has kept supply fears elevated for USOIL and UKOil even as OPEC+ states continue to ease some of their voluntary supply cuts and increase production quotas to prove their unity in the post-Abu Dhabi exit.
In the United States, commercial crude stocks fell for another week last week, as U.S. refining activity continues to outpace imports, with domestic oil production holding firm, as reflected by Baker Hughes’ U.S. oil rig count moving up slightly to 415, though still much lower than last year.
Market Overview
Oil and natural gas markets continue to trade largely on geopolitical supply threats and inventory trends. With the Strait of Hormuz still on near-shutdown as of the 11th week of the U.S.-Iran confrontation, about 20% of global seaborne crude supply has been lost. Iraqi crude exports are down as much as 90% as broader Persian Gulf shipments operate at a fraction of normal volumes, and stalled diplomacy has kept supply fears elevated for USOIL and UKOil even as OPEC+ states continue to ease some of their voluntary supply cuts and increase production quotas to prove their unity in the post-Abu Dhabi exit.
In the United States, commercial crude stocks fell for another week last week, as U.S. refining activity continues to outpace imports, with domestic oil production holding firm, as reflected by Baker Hughes’ U.S. oil rig count moving up slightly to 415, though still much lower than last year.
