Fueling Strategy: Please “KEEP YOUR TANKS TOPPED OUT” today/tonight, Saturday Prices will JUMP UP 11.5 Cents then Sunday look for another JUMP of 5 Cents~Be Safe

NMEX Crude      $ 78.01 UP $.6500

NYMEX ULSD     $2.8434 UP $.0480

NYMEX Gas       $2.2941 UP $.0297

NEWS

March WTI crude oil on Friday closed up +0.65 (+0.84%), and Mar RBOB gasoline closed up +3.48 (+1.52%). Crude oil and gasoline prices on Friday recovered from early losses and settled moderately higher, with crude posting a 2-month high and gasoline posting a 3-month high.  Crude prices shook off early losses and rallied Friday afternoon as Houthi rebels ramped up attacks on commercial shipping in the Red Sea and struck a UK oil tanker with a missile in the Gulf of Aden.  Crude prices on Friday initially moved lower as mixed global economic reports sparked concern about energy demand.

The escalation of geopolitical tensions in the Middle East supports crude prices.  The U.S. and the UK continue to launch airstrikes against Houthi rebels in Yemen in retaliation for Houthi attacks on commercial shipping in the Red Sea.  Earlier this month, the U.S. Navy advised vessels to avoid the southern Red Sea.  Houthis started attacking ships in the Red Sea in mid-November in support of Hamas in the Israeli-Hamas war and said they won’t stop the attacks until Israel ends its assault on Gaza.  Attacks on commercial shipping in the Red Sea by Iran-backed Houthi rebels have forced shippers to divert shipments around the southern tip of Africa instead of going through the Red Sea, disrupting global crude oil supplies.

Crude prices also have support after a Ukranian drone attack on Thursday damaged Russia’s Rosneft PJSC’s major Tuapse refinery on Russia’s Black Sea coast.  Russia said Friday that the Tuapse refinery, which processed 180,000 bpd of crude in the first half of January, will be shut down through at least February.  In recent weeks, several Russian oil processing and storage facilities have been targeted and damaged by Ukrainian drone attacks, increasing the risks of reducing Russian crude exports.

Friday’s global economic news was mixed for energy demand and crude prices.  On the negative side, German Feb GfK consumer confidence unexpectedly fell -4.3 to an 11-month low of -29.7, weaker than expectations of an increase to -24.6.  Also,  Japan’s Nov leading index CI was revised lower by -0.1 to a 3-year low of 107.6 from the previously reported 107.7.  On the positive side, U.S. Dec personal spending rose +0.7% m/m, stronger than expectations of +0.5% m/m.

A decline in Russian crude oil exports is supportive of crude oil prices.  Tanker-tracking data from Vortexa monitored by Bloomberg shows the four-week average of refined fuel shipments from Russia fell to 2.62 million bpd in the four weeks to Jan 21, down -70,000 bpd from the prior week.

Have a Great Day!

Loren R Bailey, President

Office: 479-846-2761

Cell: 479-790-5581

SCHEDULED OUT OF OFFICE  

JUN 06 VACATION LEAVE AFTER LUNCH

JUN 10 RETURN/ARRIVE 1300

Tell Us How We’re Doing On Google Business

https://g.page/r/CUyL9wDolv04EAI/review

As always, thank you so much for being a part of the Fuel Manager Services, Inc. family, and we look forward to making this the best year yet!

“Celebrating 31-years of Service Excellence”

www.FuelManagerServices.com

“Coming Together is the Beginning; Keeping Together is Progress; Working Together is Success”  ~ Henry Ford

To All:

To insure you get the correct fuel discount ALWAYS use the BennettIG App then tap on Fuel Discount Prices, the fuel department updates prices upwards of 4 times daily, 365 days!!

Questions? Please call Loren Bailey, Bennett Fuel Manager 479-790-5581

Fueling Strategy: Please “FUEL AS NEEDED” today/tonight, Prices will go down less than a penny Friday~Be Safe

NMEX Crude      $ 77.36 UP $2.2720

NYMEX ULSD     $2.7954 UP $0.1136

NYMEX Gas       $2.2644 UP $0.0549

NEWS

March WTI crude oil on Thursday closed up +2.27 (+3.02%), and Mar RBOB gasoline closed up +5.21 (+2.33%). Crude oil and gasoline prices on Thursday rallied to 1-3/4 month highs and closed sharply higher.  Signs of strength in U.S. energy demand support crude prices after Thursday’s report showed that U.S. Q4 GDP grew more than expected.  Also, a drone attack damaged a Russian refinery on Russia’s Black Sea coast, which risks reducing Russian crude exports and global oil supplies.  In addition, crude has carryover support from Wednesday’s weekly EIA report that showed U.S. crude inventories fell more than -9.0 million bbl. 

Thursday’s U.S. economic news was mainly better than expected, a positive factor for energy demand and crude prices.  U.S. Q4 GDP grew at a +3.3% (y/y annualized) pace, stronger than expectations of +2.0%.  Also, Dec capital goods new orders ex-aircraft and parts, a proxy for capital spending, rose +0.3% m/m, stronger than expectations of +0.1% m/m.  In addition, Dec new home sales rose +8.0% m/m to 664,000, stronger than expectations of 649,000.  On the negative side, weekly initial unemployment claims rose +25,000 to 214,000, showing a weaker labor market than expectations of 200,000.

Crude prices found support Thursday after a Ukranian drone attack damaged Russia’s Rosneft PJSC’s major Tuapse refinery on Russia’s Black Sea coast.  In recent weeks, several Russian oil processing and storage facilities have been targeted and damaged by Ukrainian drone attacks, increasing the risks of reducing Russian crude exports.

Escalating geopolitical tensions in the Middle East support crude prices.  The U.S. and the UK continue to launch airstrikes against Houthi rebels in Yemen in retaliation for Houthi attacks on commercial shipping in the Red Sea.  Earlier this month, the U.S. Navy advised vessels to avoid the southern Red Sea.  Houthis started attacking ships in the Red Sea in mid-November in support of Hamas in the Israeli-Hamas war and said they won’t stop the attacks until Israel ends its assault on Gaza.  Attacks on commercial shipping in the Red Sea by Iran-backed Houthi rebels have forced shippers to divert shipments around the southern tip of Africa instead of going through the Red Sea, disrupting global crude oil supplies.

A decline in Russian crude oil exports is supportive of crude oil prices.  Tanker-tracking data from Vortexa monitored by Bloomberg shows the four-week average of refined fuel shipments from Russia fell to 2.62 million bpd in the four weeks to Jan 21, down -70,000 bpd from the prior week.

Have a Great Day!

Loren R Bailey, President

Office: 479-846-2761

Cell: 479-790-5581

SCHEDULED OUT OF OFFICE  

JUN 06 VACATION LEAVE AFTER LUNCH

JUN 10 RETURN/ARRIVE 1300

Tell Us How We’re Doing On Google Business

https://g.page/r/CUyL9wDolv04EAI/review

As always, thank you so much for being a part of the Fuel Manager Services, Inc. family, and we look forward to making this the best year yet!

“Celebrating 31-years of Service Excellence”

www.FuelManagerServices.com

“Coming Together is the Beginning; Keeping Together is Progress; Working Together is Success”  ~ Henry Ford

Fueling Strategy: Please “FUEL AS NEEDED” today/tonight, Prices will go down less than a penny Thursday~Be Safe

NMEX Crude      $ 75.09 UP $.7200

NYMEX ULSD     $2.6818 DN $.0095

NYMEX Gas       $2.2095 DN $.0006

NEWS

March WTI crude oil on Wednesday closed up +0.72 (+0.97%), and Mar RBOB gasoline closed up +0.56 (+0.25%). Crude oil and gasoline prices on Wednesday posted moderate gains, with crude climbing to a 4-week high.  Wednesday’s decline in the dollar index to a 1-week low supported energy prices.  Also, Wednesday’s rally in the S&P 500 to a new record high shows optimism in the economic outlook that is bullish for energy demand and crude prices.  Crude raced to its high Wednesday after EIA weekly crude inventories fell more than expected.

Wednesday’s action by the PBOC to cut its reserve requirement ratio for banks by 50 bp to 10.00% supports crude prices as it will boost liquidity and may revive economic growth in China, the world’s second-largest crude consumer.

Wednesday’s economic news showed signs of strength in global manufacturing activity that is bullish for energy demand and crude prices.  The U.S. Jan S&P manufacturing PMI unexpectedly rose +2.4 to 50.3, stronger than expectations of a decline to 47.6 and the fastest pace of expansion in 15 months.  Also, the Eurozone Jan S&P manufacturing PMI rose +2.2 to a 10-month high of 46.6, stronger than expectations of 44.7. Concerns about escalating geopolitical tensions in the Middle East support crude prices.  The U.S. and the UK continue to launch airstrikes against Houthi rebels in Yemen in retaliation for Houthi attacks on commercial shipping in the Red Sea.  Earlier this month, the U.S. Navy advised vessels to avoid the southern Red Sea.  Houthis started attacking ships in the Red Sea in mid-November in support of Hamas in the Israeli-Hamas war and said they won’t stop the attacks until Israel ends its assault on Gaza.  Attacks on commercial shipping in the Red Sea by Iran-backed Houthi rebels have forced shippers to divert shipments around the southern tip of Africa instead of going through the Red Sea, disrupting global crude oil supplies.

A decline in Russian crude oil exports is supportive of crude oil prices.  Tanker-tracking data from Vortexa monitored by Bloomberg shows the four-week average of refined fuel shipments from Russia fell to 2.62 million bpd in the four weeks to Jan 21, down -70,000 bpd from the prior week.

Crude prices have support after Ukraine on Sunday launched a drone attack that caused a fire and shut down Russia’s Novatek PJSC’s gas-condensate terminal in the port of Ust-Luga, close to some of Russia’s most important oil export facilities.  An attack by Ukrainian drones on Russian crude export terminals could disrupt Russian crude exports and is bullish for oil prices.

A bearish factor for crude oil was the announcement from Libya’s National Oil Corp that crude flows from the Sharara oil field, which has been closed for the past three weeks, would resume.  The Sharara oil field is Libya’s largest and pumps about 300,000 bpd.

Have a Great Day!

Loren R Bailey, President

Office: 479-846-2761

Cell: 479-790-5581

SCHEDULED OUT OF OFFICE  

JUN 06 VACATION LEAVE AFTER LUNCH

JUN 10 RETURN/ARRIVE 1300

Tell Us How We’re Doing On Google Business

https://g.page/r/CUyL9wDolv04EAI/review

As always, thank you so much for being a part of the Fuel Manager Services, Inc. family, and we look forward to making this the best year yet!

“Celebrating 31-years of Service Excellence”

www.FuelManagerServices.com

“Coming Together is the Beginning; Keeping Together is Progress; Working Together is Success”  ~ Henry Ford

Fueling Strategy: Please “KEEP YOUR TANKS TOPPED” today/tonight, Prices will go up Wednesday 3 Cents~Be Safe

NMEX Crude      $ 74.37 DN $.3900

NYMEX ULSD     $2.6913 DN $.0022

NYMEX Gas       $2.2101 DN $.0277

NEWS

March WTI crude oil on Tuesday closed down -0.39 (-0.52%), and Mar RBOB gasoline closed down -2.75 (-1.22%). Crude oil and gasoline prices on Tuesday gave up an early advance and posted moderate losses as a rally in the dollar index to a 1-1/4 month high weighed on most commodity prices.  Crude prices Tuesday initially moved higher on concerns about the escalation of geopolitical tensions in the Middle East after the U.S. and UK launched more airstrikes against Houthi rebels in Yemen. Tuesday’s weaker-than-expected global economic news was bearish for energy demand and crude prices.  The U.S. Jan Richmond Fed manufacturing survey current conditions unexpectedly fell -4 to a 3-1/2 year low of -15, weaker than expectations of an increase to -8.  Also, the Eurozone Jan consumer confidence index unexpectedly fell -1.0 to -16.1, weaker than expectations of an increase to -14.3.

The recent series of hostile incidents in the Red Sea against commercial shipping is bullish for oil prices.  Earlier this month, the U.S. Navy advised vessels to avoid the southern Red Sea.  Houthis started attacking ships in the Red Sea in mid-November in support of Hamas in the Israeli-Hamas war and said they won’t stop the attacks until Israel ends its assault on Gaza.  Attacks on commercial shipping in the Red Sea by Iran-backed Houthi rebels have forced shippers to divert shipments around the southern tip of Africa instead of going through the Red Sea, disrupting global crude oil supplies. A decline in Russian crude oil exports is supportive of crude oil prices.  Tanker-tracking data from Vortexa monitored by Bloomberg shows the four-week average of refined fuel shipments from Russia fell to 2.62 million bpd in the four weeks to Jan 21, down -70,000 bpd from the prior week. Crude prices have support after Ukraine on Sunday launched a drone attack that caused a fire and shut down Russia’s Novatek PJSC’s gas-condensate terminal in the port of Ust-Luga, close to some of Russia’s most important oil export facilities.  An attack by Ukrainian drones on Russian crude export terminals could disrupt Russian crude exports and is bullish for oil prices.

A bearish factor for crude oil was the announcement from Libya’s National Oil Corp that crude flows from the Sharara oil field, which has been closed for the past three weeks, would resume.  The Sharara oil field is Libya’s largest and pumps about 300,000 bpd. An increase in crude in floating storage is bearish for prices.  Monday’s weekly data from Vortexa showed that the amount of crude oil held worldwide on tankers that have been stationary for at least a week rose +3.2% w/w to 75.28 million bbl as of Jan 19.

On Nov 30, OPEC+ agreed to cut crude production by -1.0 million bpd through June 2024.  However, crude prices sold off on the news since no details were provided on how the cuts would be distributed among members, nor how Russia’s -300,000 bpd export cut would factor into the new totals.  Delegates said the final details of the new accord, including national production levels, would be announced individually by each country rather than in the customary OPEC+ communique.  The market was disappointed that the extra cuts in OPEC crude output will be announced by each individual country, which suggests the reductions are only voluntary.  Meanwhile, on Dec 21, Angola announced that it was leaving OPEC amid a dispute over oil production quotas. Saudi Arabia said on Nov 30 that it would maintain its unilateral crude production cut of 1.0 million bpd through Q1-2024.  The move would maintain Saudi Arabia’s crude output at about 9 million bpd, the lowest level in three years.  Russia also said it will deepen its voluntary oil export cuts by 200,000 bpd to 500,000 bpd in Q1 of 2024.  OPEC Dec crude production fell -40,000 bpd to 28.050 million bpd.

The consensus is that Wednesday’s weekly EIA crude inventories will fall by -1.4 million bbl. Last Thursday’s EIA report showed that (1) U.S. crude oil inventories as of Jan 12 were -2.7% below the seasonal 5-year average, (2) gasoline inventories were +0.3 above the seasonal 5-year average, and (3) distillate inventories were -3.4% below the 5-year seasonal average.  U.S. crude oil production in the week ended Jan 12 rose +0.8% w/w at 13.3 million bpd, matching the record high.

Baker Hughes reported last Friday that active U.S. oil rigs in the week ended Jan 19 fell by -2 rigs to 497 rigs, just above the 2-year low of 494 rigs from Nov 10.  The number of U.S. oil rigs in the past year has fallen from the 3-3/4 year high of 627 rigs posted in December 2022.

Have a Great Day!

Loren R Bailey, President

Office: 479-846-2761

Cell: 479-790-5581

SCHEDULED OUT OF OFFICE  

JUN 06 VACATION LEAVE AFTER LUNCH

JUN 10 RETURN/ARRIVE 1300

Tell Us How We’re Doing On Google Business

https://g.page/r/CUyL9wDolv04EAI/review

As always, thank you so much for being a part of the Fuel Manager Services, Inc. family, and we look forward to making this the best year yet!

“Celebrating 31-years of Service Excellence”

www.FuelManagerServices.com

“Coming Together is the Beginning; Keeping Together is Progress; Working Together is Success”  ~ Henry Ford

Fueling Strategy: Please “FUEL AS NEEDED” today/tonight ~ Please Be Safe!

NMEX Crude      $ 75.19 UP $1.7800

NYMEX ULSD     $2.6935 UP $0.0314

NYMEX Gas       $2.2378 UP $0.0750

NEWS

February WTI crude oil on Monday closed up +1.78 (+2.42%), and Feb RBOB gasoline  closed up +7.50 (+3.47%). Crude oil and gasoline prices on Monday moved higher, with crude posting a 3-1/2 week high and gasoline posting an 8-week high.   Crude prices rallied Monday after a drone attack shut down a Novatek PJSC gas-condensate terminal on the Baltic Coast near a major oil export terminal,  threatening to disrupt Russian crude exports.  Also, Monday’s rally in the S&P 500 to a record high shows confidence in the U.S. economic outlook that is bullish for energy demand and crude prices.

An attack by Ukrainian drones on Russian crude export terminals could disrupt Russian crude exports and is bullish for oil prices.  On Sunday, Ukraine launched a drone attack that caused a fire and shut down Russia’s Novatek PJSC’s gas-condensate terminal in the port of Ust-Luga, close to some of Russia’s most important oil export facilities. A bearish factor for crude oil was the announcement from Libya’s National Oil Corp that crude flows from the Sharara oil field, which has been closed for the past three weeks, would resume.  The Sharara oil field is Libya’s largest and pumps about 300,000 bpd.

The recent series of hostile incidents in the Red Sea against commercial shipping is bullish for oil prices.  Earlier this month, the U.S. Navy advised vessels to avoid the southern Red Sea.  Houthis started attacking ships in the Red Sea in mid-November in support of Hamas in the Israeli-Hamas war and said they won’t stop the attacks until Israel ends its assault on Gaza.  Attacks on commercial shipping in the Red Sea by Iran-backed Houthi rebels have forced shippers to divert shipments around the southern tip of Africa instead of going through the Red Sea, disrupting global crude oil supplies. An increase in Russian crude oil exports is bearish for crude oil prices.  Tanker-tracking data from Vortexa monitored by Bloomberg shows the four-week average of refined fuel shipments from Russia rose to 2.77 million bpd in the four weeks to Jan 14, up +53,000 bpd from the prior week. An increase in crude in floating storage is bearish for prices.  Monday’s weekly data from Vortexa showed that the amount of crude oil held worldwide on tankers that have been stationary for at least a week rose +3.2% w/w to 75.28 million bbl as of Jan 19.

On Nov 30, OPEC+ agreed to cut crude production by -1.0 million bpd through June 2024.  However, crude prices sold off on the news since no details were provided on how the cuts would be distributed among members, nor how Russia’s -300,000 bpd export cut would factor into the new totals.  Delegates said the final details of the new accord, including national production levels, would be announced individually by each country rather than in the customary OPEC+ communique.  The market was disappointed that the extra cuts in OPEC crude output will be announced by each individual country, which suggests the reductions are only voluntary.  Meanwhile, on Dec 21, Angola announced that it was leaving OPEC amid a dispute over oil production quotas. Saudi Arabia said on Nov 30 that it would maintain its unilateral crude production cut of 1.0 million bpd through Q1-2024.  The move would maintain Saudi Arabia’s crude output at about 9 million bpd, the lowest level in three years.  Russia also said it will deepen its voluntary oil export cuts by 200,000 bpd to 500,000 bpd in Q1 of 2024.  OPEC Dec crude production fell -40,000 bpd to 28.050 million bpd.

Last Thursday’s EIA report showed that (1) U.S. crude oil inventories as of Jan 12 were -2.7% below the seasonal 5-year average, (2) gasoline inventories were +0.3 above the seasonal 5-year average, and (3) distillate inventories were -3.4% below the 5-year seasonal average.  U.S. crude oil production in the week ended Jan 12 rose +0.8% w/w at 13.3 million bpd, matching the record high.

Baker Hughes reported last Friday that active U.S. oil rigs in the week ended Jan 19 fell by -2 rigs to 497 rigs, just above the 2-year low of 494 rigs from Nov 10.  The number of U.S. oil rigs in the past year has fallen from the 3-3/4 year high of 627 rigs posted in December 2022.

Have a Great Day!

Loren R Bailey, President

Office: 479-846-2761

Cell: 479-790-5581

SCHEDULED OUT OF OFFICE  

None at this time

Tell Us How We’re Doing On Google Business

https://g.page/r/CUyL9wDolv04EAI/review

As always, thank you so much for being a part of the Fuel Manager Services, Inc. family, and we look forward to making this the best year yet!

“Celebrating 31-years of Service Excellence”

www.FuelManagerServices.com

“Coming Together is the Beginning; Keeping Together is Progress; Working Together is Success”  ~ Henry Ford

Fueling Strategy: Please “KEEP YOUR TANKS TOPPED” today/tonight, Saturday prices will jump UP 4 cents the Sunday look for prices to drop 3 cents ~ Be Safe

NMEX Crude      $ 73.41 DN $.6700

NYMEX ULSD     $2.6621 DN $.0315

NYMEX Gas       $2.1628 DN $.0207

NEWS

February WTI crude oil on Friday closed down -0.67 (-0.90%), and Feb RBOB gasoline closed down -2.07 (-0.95%). Crude oil and gasoline prices on Friday settled moderately lower.  Expectations that global oil supplies will remain adequate despite geopolitical risks in the Middle East are weighing on crude prices.  A weaker dollar Friday limited losses in energy prices. The outlook for adequate global crude supplies is weighing on prices after the International Energy Agency said global oil markets will likely remain “reasonably well-supplied” this year, provided there are no major disruptions, as production climbs outside OPEC+ producers. Friday’s U.S. economic news was mixed for energy demand and crude prices.  On the negative side, Dec existing home sales unexpectedly fell -1.0% m/m to a 13-year low of 3.78 million versus expectations of a +0.3% m/m increase to 3.83 million.  Conversely, the University of Michigan U.S. Jan consumer sentiment index rose +9.1 to a 2-1/2 year high of  78.8, stronger than expectations of 70.1.

The recent series of hostile incidents in the Red Sea against commercial shipping is bullish for oil prices.  Last Friday, the U.S. Navy advised vessels to avoid the southern Red Sea.  Houthis started attacking ships in the Red Sea in mid-November in support of Hamas in the Israeli-Hamas war and said they won’t stop the attacks until Israel ends its assault on Gaza.  Attacks on commercial shipping in the Red Sea by Iran-backed Houthi rebels have forced shippers to divert shipments around the southern tip of Africa instead of going through the Red Sea, disrupting global crude oil supplies. An increase in Russian crude oil exports is bearish for crude oil prices.  Tanker-tracking data from Vortexa monitored by Bloomberg shows the four-week average of refined fuel shipments from Russia rose to 2.77 million bpd in the four weeks to Jan 14, up +53,000 bpd from the prior week. In a bullish factor, Libya’s National Oil Corporation declared force majeure on Jan 7 at its Sharara oil field, which was shut down on Jan 3 after protestors entered the facility.  The Sharara oil field is Libya’s largest and pumps about 300,000 bpd. A decline in crude in floating storage is bullish for prices.  Monday’s weekly data from Vortexa showed that the amount of crude oil held worldwide on tankers that have been stationary for at least a week fell -14% w/w to 75.76 million bbl as of Jan 12.

On Nov 30, OPEC+ agreed to cut crude production by -1.0 million bpd through June 2024.  However, crude prices sold off on the news since no details were provided on how the cuts would be distributed among members, nor how Russia’s -300,000 bpd export cut would factor into the new totals.  Delegates said the final details of the new accord, including national production levels, would be announced individually by each country rather than in the customary OPEC+ communique.  The market was disappointed that the extra cuts in OPEC crude output will be announced by each individual country, which suggests the reductions are only voluntary.  Meanwhile, Angola on Dec 21 announced that it was leaving OPEC amid a dispute over oil production quotas. Saudi Arabia said on Nov 30 that it would maintain its unilateral crude production cut of 1.0 million bpd through Q1-2024.  The move would maintain Saudi Arabia’s crude output at about 9 million bpd, the lowest level in three years.  Russia also said it will deepen its voluntary oil export cuts by 200,000 bpd to 500,000 bpd in Q1 of 2024.  OPEC Dec crude production fell -40,000 bpd to 28.050 million bpd.

Thursday’s EIA report showed that (1) U.S. crude oil inventories as of Jan 12 were -2.7% below the seasonal 5-year average, (2) gasoline inventories were +0.3 above the seasonal 5-year average, and (3) distillate inventories were -3.4% below the 5-year seasonal average.  U.S. crude oil production in the week ended Jan 12 rose +0.8% w/w at 13.3 million bpd, matching the record high.

Baker Hughes reported Friday that active U.S. oil rigs in the week ended Jan 19 fell by -2 rigs to 497 rigs, just above the 2-year low of 494 rigs from Nov 10.  The number of U.S. oil rigs in the past year has fallen from the 3-3/4 year high of 627 rigs posted in December 2022.

Have a Great Day!

Loren R Bailey, President

Office: 479-846-2761

Cell: 479-790-5581

SCHEDULED OUT OF OFFICE  

None at this time

Tell Us How We’re Doing On Google Business

https://g.page/r/CUyL9wDolv04EAI/review

As always, thank you so much for being a part of the Fuel Manager Services, Inc. family, and we look forward to making this the best year yet!

“Celebrating 31-years of Service Excellence”

www.FuelManagerServices.com

“Coming Together is the Beginning; Keeping Together is Progress; Working Together is Success”  ~ Henry Ford

Fueling Strategy: Please “FUEL AS NEEDED” today/tonight, Friday prices will drop less than one penny then Saturday prices will jump UP 4 cents ~ Please Be Safe!

NMEX Crude      $ 74.08 UP $1.5200

NYMEX ULSD     $2.6996 UP $0.0400

NYMEX Gas       $2.1835 UP $0.0481

NEWS

February WTI crude oil on Thursday closed up +1.52 (+2.09%), and Feb RBOB gasoline closed up +4.81 (+2.25%). Crude oil and gasoline prices Thursday closed sharply higher.  Thursday’s better-than-expected U.S. economic news was positive for energy demand and crude prices.  Also, heightened geopolitical risks in the Middle East are lifting crude prices as the U.S. military targeted 14 Houthi missile launch sites overnight in Yemen as Houthi rebels continue to attack ships in the Red Sea off Yemen’s coast.  Gains in crude accelerated after weekly EIA crude inventories fell more than expected.

Thursday’s U.S. economic news was mostly better than expected and supported energy demand and crude prices.  Weekly initial unemployment claims unexpectedly fell -16,000 to a 16-month low of 187,000, showing a stronger labor market than expectations of 205,000.  Also, Dec housing starts fell -4.3% m/m to 1.460 million, stronger than expectations of 1.425 million.  In addition, Dec building permits, a proxy for future construction, rose +1.9% m/m to 1.495 million, stronger than expectations of 1.477 million.  On the negative side, the Jan Philadelphia Fed business outlook survey rose +2.2 to -10.6, weaker than expectations of -6.5.

The recent series of hostile incidents in the Red Sea against commercial shipping is bullish for oil prices.  Last Friday, the U.S. Navy advised vessels to avoid the southern Red Sea.  Houthis started attacking ships in the Red Sea in mid-November in support of Hamas in the Israeli-Hamas war and said they won’t stop the attacks until Israel ends its assault on Gaza.  Attacks on commercial shipping in the Red Sea by Iran-backed Houthi rebels have forced shippers to divert shipments around the southern tip of Africa instead of going through the Red Sea, disrupting global crude oil supplies. An increase in Russian crude oil exports is bearish for crude oil prices.  Tanker-tracking data from Vortexa monitored by Bloomberg shows the four-week average of refined fuel shipments from Russia rose to 2.77 million bpd in the four weeks to Jan 14, up +53,000 bpd from the prior week.

Crude oil prices have support from tighter global crude supplies after Libya’s National Oil Corporation declared force majeure on Jan 7 at its Sharara oil field, which was shut down on Jan 3 after protestors entered the facility.  The Sharara oil field is Libya’s largest and pumps about 300,000 bpd. A decline in crude in floating storage is bullish for prices.  Monday’s weekly data from Vortexa showed that the amount of crude oil held worldwide on tankers that have been stationary for at least a week fell -14% w/w to 75.76 million bbl as of Jan 12.

A bearish factor for crude was the announcement from Angola on Dec 21 that it is leaving OPEC amid a dispute over oil production quotas.  Angola is Africa’s second-largest crude producer, and the rift between Angola and other OPEC+ members is a bearish factor that signals infighting among members.  Other OPEC members may balk at Saudi Arabia’s attempt to force all members into a production cut.

On Nov 30, OPEC+ agreed to cut crude production by -1.0 million bpd through June 2024.  However, crude prices sold off on the news since no details were provided on how the cuts would be distributed among members, nor how Russia’s -300,000 bpd export cut would factor into the new totals.  Delegates said the final details of the new accord, including national production levels, would be announced individually by each country rather than in the customary OPEC+ communique.  The market was disappointed that the extra cuts in OPEC crude output will be announced by each individual country, which suggests the reductions are only voluntary.

Saudi Arabia said on Nov 30 that it would maintain its unilateral crude production cut of 1.0 million bpd through Q1-2024.  The move would maintain Saudi Arabia’s crude output at about 9 million bpd, the lowest level in three years.  Russia also said it will deepen its voluntary oil export cuts by 200,000 bpd to 500,000 bpd in Q1 of 2024.  OPEC Dec crude production fell -40,000 bpd to 28.050 million bpd.

Thursday’s weekly EIA report was mixed for crude oil and its products.  On the bullish side, EIA crude inventories fell -2.49 million bbl, a larger draw than the expectations of -850,000 bbl.  Also, crude supplies at Cushing, the delivery point of WTI futures, fell -2.1 million bbl.  On the bearish side, EIA gasoline stockpiles rose +3.08 million bbl to a 2-year high, a larger build than expectations of +2.5 million bbl.  Also, EIA distillate inventories rose +2.37 million bbl to a 2-1/3 year high, a larger build than expectations of +1.9 million bbl. Thursday’s EIA report showed that (1) U.S. crude oil inventories as of Jan 12 were -2.7% below the seasonal 5-year average, (2) gasoline inventories were +0.3 above the seasonal 5-year average, and (3) distillate inventories were -3.4% below the 5-year seasonal average.  U.S. crude oil production in the week ended Jan 12 rose +0.8% w/w at 13.3 million bpd, matching the record high.

Baker Hughes reported last Friday that active U.S. oil rigs in the week ended Jan 12 fell by -2 rigs to 499 rigs, just above the 2-year low of 494 rigs from Nov 10.  The number of U.S. oil rigs in the past year has fallen from the 3-3/4 year high of 627 rigs posted in December 2022.

Have a Great Day!

Loren R Bailey, President

Office: 479-846-2761

Cell: 479-790-5581

SCHEDULED OUT OF OFFICE  

None at this time

Tell Us How We’re Doing On Google Business

https://g.page/r/CUyL9wDolv04EAI/review

As always, thank you so much for being a part of the Fuel Manager Services, Inc. family, and we look forward to making this the best year yet!

“Celebrating 31-years of Service Excellence”

www.FuelManagerServices.com

“Coming Together is the Beginning; Keeping Together is Progress; Working Together is Success”  ~ Henry Ford

Fueling Strategy: Please “FUEL AS NEEDED” today/tonight, Thursday prices will drop less than one penny ~ Please Be Safe!

NMEX Crude      $ 72.56 UP $.1600

NYMEX ULSD     $2.6536 DN $.0070

NYMEX Gas       $2.1354 UP $.0135

NEWS

February WTI crude oil on Wednesday closed up +0.16 (+0.22%), and Feb RBOB gasoline closed up +1.35 (+0.64%). Crude oil and gasoline prices on Wednesday recovered from early losses and settled higher.  Better-than-expected U.S. economic news Wednesday signals strength in the economy that supports energy demand and crude prices.  Also, heightened geopolitical risks in the Middle East are bullish for crude as Houthi rebels continue to attack ships in the Red Sea off Yemen’s coast. Crude prices Wednesday initially moved lower and fell to a 1-week low after the dollar index climbed to a 1-month high.  Also, Wednesday’s selloff in global equity markets sparked a risk-off mood across asset markets.  In addition, weaker-than-expected economic news in China, the world’s second-largest crude consumer, is negative for energy demand and crude prices.

Wednesday’s U.S. economic news was better than expected and supported energy demand and crude prices.  Dec retail sales rose +0.6% m/m, stronger than expectations of +0.4% m/m.  Also, Dec manufacturing production rose +0.1% m/m, stronger than expectations of no change.  In addition, the Jan NAHB housing market index rose +7 to 44, stronger than expectations of 39.  By contrast, Wednesday’s economic news from China was bearish for energy demand and crude prices.  China’s Q4 GDP grew +5.2% y/y, slightly weaker than expectations of +5.3% y/y.  Also, China’s Dec retail sales eased to +7.4% y/y from +10.1% y/y in Nov, weaker than expectations of +8.0% y/y.  In addition, China’s Dec new home prices fell -0.45% m/m, the biggest decline in 8-3/4 years and the seventh consecutive month that home prices have fallen.

The recent series of hostile incidents in the Red Sea against commercial shipping is bullish for oil prices.  Last Friday, the U.S. Navy advised vessels to stay away from the southern Red Sea.  Houthis started attacking ships in the Red Sea in mid-November in support of Hamas in the Israeli-Hamas war and said they won’t stop the attacks until Israel ends its assault on Gaza.  Attacks on commercial shipping in the Red Sea by Iran-backed Houthi rebels have forced shippers to divert shipments around the southern tip of Africa instead of going through the Red Sea, disrupting global crude oil supplies.

An increase in Russian crude oil exports is bearish for crude oil prices.  Tanker-tracking data from Vortexa monitored by Bloomberg shows the four-week average of refined fuel shipments from Russia rose to 2.77 million bpd in the four weeks to Jan 14, up +53,000 bpd from the prior week.

Have a Great Day!

Loren R Bailey, President

Office: 479-846-2761

Cell: 479-790-5581

SCHEDULED OUT OF OFFICE  

None at this time

Tell Us How We’re Doing On Google Business

https://g.page/r/CUyL9wDolv04EAI/review

As always, thank you so much for being a part of the Fuel Manager Services, Inc. family, and we look forward to making this the best year yet!

“Celebrating 31-years of Service Excellence”

www.FuelManagerServices.com

“Coming Together is the Beginning; Keeping Together is Progress; Working Together is Success”  ~ Henry Ford

Fueling Strategy: Please “FUEL AS NEEDED” today/tonight ~ Please Be Safe!

NMEX Crude      $ 72.40 DN $.2800

NYMEX ULSD     $2.6606 DN $.0087

NYMEX Gas       $2.1219 UP $.0016

Have a Great Day!

Loren R Bailey, President

Office: 479-846-2761

Cell: 479-790-5581

SCHEDULED OUT OF OFFICE  

None at this time

Tell Us How We’re Doing On Google Business

https://g.page/r/CUyL9wDolv04EAI/review

As always, thank you so much for being a part of the Fuel Manager Services, Inc. family, and we look forward to making this the best year yet!

“Celebrating 31-years of Service Excellence”

www.FuelManagerServices.com

“Coming Together is the Beginning; Keeping Together is Progress; Working Together is Success”  ~ Henry Ford