Sunday, January 24, 2021
  • Contact Us
  • Terms of Use
  • Privacy Policy
  • DMCA
  • CCPA
Oil Market News Today
  • Home
  • Market
    • All
    • Africa
    • Europe
    • Middle East
    • Russia
    • US
    • Venezuela
    Oil and Gas Storage Valves Market Trade Outlook And Information Collected

    Oil and Gas Storage Valves Market Trade Outlook And Information Collected

    Plastic Waste to Oil Market Analysis, Size, Trends and Segmented Data

    Sage Essential Oil Market 2020 COVID-19 Challenges, Growth Factors, Trends,

    Car Engine Oil Market Segmentation Along With Regional Outlook, Competitive

    Car Motor Oil Market 2020| Global Leading Players, Industry Updates, Future

    Poppyseed Oil Market Competitive Insights, Production and Demand 2020 to

    Poppyseed Oil Market Competitive Insights, Production and Demand 2020 to

    Plastic Waste to Oil Market Analysis, Size, Trends and Segmented Data

    Plastic Waste to Oil Market Analysis, Size, Trends and Segmented Data

    German oil imports fell 11.3 per cent in April at height of lockdown – ET

    German oil imports fell 11.3 per cent in April at height of lockdown – ET

    • US
    • Russia
    • Europe
    • Middle East
    • Africa
    • Venezuela
  • Oil News
  • Oil & Gas
  • Diesel
  • Oil Price
  • Politics
  • Industry
  • Companys
  • Production
  • Natural Gas
No Result
View All Result
  • Home
  • Market
    • All
    • Africa
    • Europe
    • Middle East
    • Russia
    • US
    • Venezuela
    Oil and Gas Storage Valves Market Trade Outlook And Information Collected

    Oil and Gas Storage Valves Market Trade Outlook And Information Collected

    Plastic Waste to Oil Market Analysis, Size, Trends and Segmented Data

    Sage Essential Oil Market 2020 COVID-19 Challenges, Growth Factors, Trends,

    Car Engine Oil Market Segmentation Along With Regional Outlook, Competitive

    Car Motor Oil Market 2020| Global Leading Players, Industry Updates, Future

    Poppyseed Oil Market Competitive Insights, Production and Demand 2020 to

    Poppyseed Oil Market Competitive Insights, Production and Demand 2020 to

    Plastic Waste to Oil Market Analysis, Size, Trends and Segmented Data

    Plastic Waste to Oil Market Analysis, Size, Trends and Segmented Data

    German oil imports fell 11.3 per cent in April at height of lockdown – ET

    German oil imports fell 11.3 per cent in April at height of lockdown – ET

    • US
    • Russia
    • Europe
    • Middle East
    • Africa
    • Venezuela
  • Oil News
  • Oil & Gas
  • Diesel
  • Oil Price
  • Politics
  • Industry
  • Companys
  • Production
  • Natural Gas
No Result
View All Result
Oil Market News Today
No Result
View All Result

Oil Drops As U.S. Oil Production Suddenly Increases

June 24, 2020
in Production
Oil Drops As U.S. Oil Production Suddenly Increases
Share on FacebookShare on Twitter


U.S. Domestic Oil Production Jumps To 11 Million Barrels Per Day

EIA has just provided its new Weekly Petroleum Status Report. As always, traders were eager to learn the latest inventory dynamics.

U.S. crude oil inventories increased by 1.4 million barrels while gasoline inventories decreased by 1.7 million barrels and distillate fuel inventories increased by 0.25 million barrels.

Imports were down by 0.1 million barrels per day (bpd) compared to the previous week, so the increase in crude inventories had another source…

This source is the rapid increase in U.S. domestic oil production. In the previous week, EIA reported that domesic oil production was 10.5 million bpd. This week, it has increased to 11 million bpd.

This is a material bearish catalyst for WTI oil as it means that prices near the $40 level are sufficient enough to bring back some of production. This development is really surprising since most market observers believed that sub-$40 prices were not sufficient enough to provide support to the U.S. shale industry.

Before the new EIA report, oil struggled to settle above the $40 level. Now, it will need even more catalysts to get above this level as traders will worry that a move above $40 will lead to an increase in U.S. domestic oil production.

The Recent Rally Is Put To A Test

Finally, the oil rally, which did not have any meaningful pullbacks for several months, is put to a test. The EIA Weekly Petroleum Status report is certainly bearish due to a rapid increase of U.S. domestic oil production and the continued increase in crude oil inventories.

At the same time, the global markets are once again worried about a potential second wave of coronavirus which could put pressure on oil demand. The near-term catalysts are bearish, so any support for oil will come from those traders who believe in the longer-term improvement of oil fundamentals.

The spread between the front-month contract and the December 2020 contract is less than $1. Such spreads are typical for a normal situation in the markets, although the current market environment is anything but normal. At this point, it looks like we’ll see more oil price volatility in the upcoming trading sessions.

For a look at all of today’s economic events, check out our economic calendar.



Read More: Oil Drops As U.S. Oil Production Suddenly Increases

Tags: dropsIncreasesoilProductionSuddenly

Related Posts

Car Engine Oil Market Segmentation Along With Regional Outlook, Competitive
Production

Automotive Motor Oil Market 2020- Analysis And In-Depth Research On Market

June 27, 2020
Car Engine Oil Market Segmentation Along With Regional Outlook, Competitive
Production

Car Engine Oil Market Segmentation Along With Regional Outlook, Competitive

June 27, 2020
Nigeria’s oil production up by 225,000 bpd as SNEPCo completes Bonga FPSO
Production

Nigeria’s oil production up by 225,000 bpd as SNEPCo completes Bonga FPSO

June 27, 2020
Oil India Q4 results: Company back in black on lower taxes; posts net
Production

Oil India Q4 results: Company back in black on lower taxes; posts net

June 27, 2020
Next Post
Minnesota sues oil companies, institute over climate change

Minnesota sues oil companies, institute over climate change

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Advertisers

Advertisers

Today Oil Markets

DXI Reports Q1 2020 Results – Oil & Gas 360

7 months ago
The World’s Top 10 Oil Producers And Consumers

The World’s Top 10 Oil Producers And Consumers

7 months ago
OPEC output hit 30-year high during the Saudi-Russia price war

OPEC output hit 30-year high during the Saudi-Russia price war

7 months ago
Citrus Oil Market Latest trending report is booming globally by Top Leading

Citrus Oil Market Latest trending report is booming globally by Top Leading

7 months ago
Hilcorp is the lone bidder for Alaska oil and gas lease sale

Hilcorp is the lone bidder for Alaska oil and gas lease sale

7 months ago
Locust attack live: Swarms reach Delhi outskirts; AAP govt calls meeting

Locust attack live: Swarms reach Delhi outskirts; AAP govt calls meeting

7 months ago

Oil Market

Oil and Gas Storage Valves Market Trade Outlook And Information Collected

Oil and Gas Storage Valves Market Trade Outlook And Information Collected

June 27, 2020
Plastic Waste to Oil Market Analysis, Size, Trends and Segmented Data

Sage Essential Oil Market 2020 COVID-19 Challenges, Growth Factors, Trends,

June 27, 2020
Car Engine Oil Market Segmentation Along With Regional Outlook, Competitive

Car Motor Oil Market 2020| Global Leading Players, Industry Updates, Future

June 27, 2020
Poppyseed Oil Market Competitive Insights, Production and Demand 2020 to

Poppyseed Oil Market Competitive Insights, Production and Demand 2020 to

June 27, 2020

Russia Oil Market

Oil and Gas Storage Valves Market Trade Outlook And Information Collected

Oil and Gas Storage Valves Market Trade Outlook And Information Collected

June 27, 2020
Plastic Waste to Oil Market Analysis, Size, Trends and Segmented Data

Sage Essential Oil Market 2020 COVID-19 Challenges, Growth Factors, Trends,

June 27, 2020
German oil imports fell 11.3 per cent in April at height of lockdown – ET

German oil imports fell 11.3 per cent in April at height of lockdown – ET

June 27, 2020
Citrus Oil Market Latest trending report is booming globally by Top Leading

Citrus Oil Market Latest trending report is booming globally by Top Leading

June 25, 2020

Europe Oil Market

Oil Set for Weekly Loss on US Virus Fears

Oil Set for Weekly Loss on US Virus Fears

June 26, 2020

Exclusive: Legal Tussles Snarl Millions in Oil From Hin Leong Deals

June 25, 2020
EU lacks ‘complete overview’ about used cooking oil origins

EU lacks ‘complete overview’ about used cooking oil origins

June 24, 2020
  • Contact Us
  • Terms of Use
  • Privacy Policy
  • DMCA
  • CCPA

© 2020 OilMarketToday.com

No Result
View All Result
  • Home
  • Market
    • US
    • Russia
    • Europe
    • Middle East
    • Africa
    • Venezuela
  • Oil News
  • Oil & Gas
  • Diesel
  • Oil Price
  • Politics
  • Industry
  • Companys
  • Production
  • Natural Gas

© 2020 OilMarketToday.com