Fueling Strategy: Please fill as needed tonight, Wholesale prices will go UP Saturday 1.5 cent but will drop almost 7 cents Sunday AM – Be Safe Today!

NYMEX Crude $ 47.64 UP $2.4700
NY Harbor ULSD $1.4550 DN $0.0650
NYMEX Gasoline $1.5250 DN $0.0790

NEWS
Oil futures dropped nearly 5% on Friday to their lowest level in about a week, after the U.K.’s vote to leave the European Union in a nationwide referendum triggered a selloff across markets. The U.K.’s vote to end its membership in the EU has spooked investors, sapping appetite for assets viewed as risky, including stocks and commodities, amid the uncertainty surrounding the next step for Europe’s trade bloc. “The unknowns surrounding the Brexit and chances that other countries may follow suit will be seen as a substantial headwind for risk assets, including oil in the near term, while demand for safe-haven assets such as gold will remain elevated,” said Tyler Richey, co-editor of The 7:00’s Report.

August West Texas Intermediate crude dropped $2.47, or 4.9%, to settle at $47.64 a barrel on the New York Mercantile Exchange. Prices logged their largest one-day percentage decline since early February. Prices lost 0.7% from last Friday’s $47.98 settlement for the front-month July contract, which expired Tuesday. The August WTI contract itself, was down 1.9% for the week. August Brent crude sank $2.50, or 4.9%, to end at $48.41 a barrel on London’s ICE Futures exchange. Prices haven’t lost this much, percentage-wise, in a single day since early May. They were around 1.6% lower for the week. For energy prices, “the most significant impact of the vote is through currency,” said Daniel Holder, commodity analyst at Schneider Electric.

The euro and British pound fell sharply Friday, with the pound suffering from its largest-ever daily drop against the U.S. dollar. The ICE U.S. Dollar Index jumped 2%. “That’s bearish for dollar-denominated prices like crude oil,” said Holder. Despite the big losses, however, some oil analysts and traders said the price decline was likely to hold only over the short term. “The core oil fundamentals are still unchanged, so I think we will have to wait a while for the dust to settle,” said Olivier Jakob of Switzerland-based Petromatrix.

Oil prices were still holding within a 20-day average, at well above $45 a barrel. A stronger supply and demand outlook has helped elevate prices over the past few weeks, with global outages helping to curb the oversupply which has weighed on Brent and WTI. Data released Friday from Baker Hughes meanwhile, showed that the weekly number of active U.S. rigs drilling for crude fell for the first time in a month. The oil-rig count fell by 7 to 330 as of Friday. That helped eased expectations that U.S. production is beginning to recover.