Fueling Strategy: Please “KEEP YOUR TANKS TOPPED” today/tonight, Wednesday look for a 6.5 cent jump in prices, Be Safe

NMEX Crude      $ 85.97 DN $.4100

NYMEX ULSD     $3.0201 UP $.0535

NYMEX Gas       $2.2584 UP $.0203

NEWS

November WTI crude oil on Tuesday closed down -0.41 (-0.47%), and Nov RBOB gasoline closed up +2.03 (+0.91%). Nov WTI crude oil and gasoline prices on Tuesday settled mixed, with crude giving back some of Monday’s surge.   Profit-taking emerged in crude Tuesday after the IMF cut its 2024 global GDP forecast to +2.9% from July’s forecast of +3.0%.  Losses in crude were limited by a weaker dollar and heightened concerns that the conflict between Israel and Hamas may widen and disrupt crude oil supplies from the Middle East.  Also, the prospects for additional Chinese stimulus are supportive for energy demand and crude prices.

Crude has support from expectations for additional Chinese stimulus after Bloomberg reported that China is considering raising its budget deficit for 2023 as the government prepares to unleash a new round of stimulus to help the economy reach the government’s 5% growth target. The tightness in the oil market is expected to continue due to the extension of OPEC+ production cuts.  Saudi Arabia recently said it would maintain its unilateral crude production cut of 1.0 million bpd through December.  The move will hold Saudi Arabia’s crude output at about 9 million bpd, the lowest level in three years.  Russia also recently announced that it would maintain its 300,000 bpd cut in crude production through December.   Saudi Arabia and Russia on Wednesday announced that they will retain their crude production cuts until the end of the year.   OPEC Sep crude production was little changed, rising +50,000 bpd to 27.97 million 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 -15% w/w to 70.04 million bbl as of Oct 6, the lowest in 10 months.

Last Wednesday’s EIA report showed that (1) U.S. crude oil inventories as of Sep 29 were -4.5% below the seasonal 5-year average, (2) gasoline inventories were +1.1% above the seasonal 5-year average, and (3) distillate inventories were -12.8% below the 5-year seasonal average.  U.S. crude oil production in the week ended Sep 29 was unchanged w/w at 12.9 million bpd, the most in 3-1/2 years.  U.S. crude oil production is modestly below the Feb-2020 record-high of 13.1 million bpd.

Baker Hughes reported last Friday that active U.S. oil rigs in the week ended Oct 6 fell by -5 to a 20-month low of 497 rigs.  That is well below the 3-1/4 year high of 627 rigs posted on Dec 2, 2022.  Still, U.S. active oil rigs have roughly tripled from the 18-year low of 172 rigs seen in Aug 2020, signaling an increase in U.S. crude oil production capacity from pandemic lows.

Have a Great Day,

Loren R Bailey, President

Office: 479-846-2761

Cell: 479-790-5581

SCHEDULED OUT OF OFFICE

OCT 13 Out After 14:00

OCT 18 Out After 11:00

NOV 02 Out of Office All Day

NOV 03 Back Late Afternoon

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 30-years of Service Excellence”

www.FuelManagerServices.com

 “To give real service you must add something which cannot be bought or measured with money, and that is sincerity and integrity.” ~ Douglas Adams

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

NMEX Crude      $ 86.38 UP $3.5900

NYMEX ULSD     $2.9966 UP $0.0658

NYMEX Gas       $2.2381 UP $0.0459

NEWS

November WTI crude oil on Monday closed up +3.59 (+4.34%), and Nov RBOB gasoline closed up +4.59 (+2.09%). Nov WTI crude oil and gasoline prices on Monday closed sharply higher.  Renewed instability in the Middle East pushed crude prices sharply higher after Hamas militants attacked Israel over the weekend.   There are heightened concerns that the conflict may widen and disrupt crude oil supplies from the Middle East.  The U.S. sent a group of warships to the eastern Mediterranean.  The Wall Street Journal reported that Iranian security officials helped Hamas plan Saturday’s surprise attack, which raises the risk there may be retaliation measures against Iran.

Negative factors for crude prices Monday included a stronger dollar and weakness in the crude crack spread.  Monday’s crack spread dropped to a 1-3/4 year low, discouraging refiners from purchasing crude and refining it into gasoline and distillates.

The tightness in the oil market is expected to continue due to the extension of OPEC+ production cuts.  Saudi Arabia recently said it would maintain its unilateral crude production cut of 1.0 million bpd through December.  The move will hold Saudi Arabia’s crude output at about 9 million bpd, the lowest level in three years.  Russia also recently announced that it would maintain its 300,000 bpd cut in crude production through December.   Saudi Arabia and Russia on Wednesday announced that they will retain their crude production cuts until the end of the year.   OPEC Sep crude production was little changed, rising +50,000 bpd to 27.97 million 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 -15% w/w to 70.04 million bbl as of Oct 6, the lowest in 10 months.

Last Wednesday’s EIA report showed that (1) U.S. crude oil inventories as of Sep 29 were -4.5% below the seasonal 5-year average, (2) gasoline inventories were +1.1% above the seasonal 5-year average, and (3) distillate inventories were -12.8% below the 5-year seasonal average.  U.S. crude oil production in the week ended Sep 29 was unchanged w/w at 12.9 million bpd, the most in 3-1/2 years.  U.S. crude oil production is modestly below the Feb-2020 record-high of 13.1 million bpd.

Baker Hughes reported last Friday that active U.S. oil rigs in the week ended Oct 6 fell by -5 to a 20-month low of 497 rigs.  That is well below the 3-1/4 year high of 627 rigs posted on Dec 2, 2022.  Still, U.S. active oil rigs have roughly tripled from the 18-year low of 172 rigs seen in Aug 2020, signaling an increase in U.S. crude oil production capacity from pandemic lows.

Have a Great Day,

 Loren R Bailey, President

Office: 479-846-2761

Cell: 479-790-5581

SCHEDULED OUT OF OFFICE 

OCT 13 Out After 14:00

OCT 18 Out After 11:00 

NOV 02 Out of Office All Day 

NOV 03 Back Late Afternoon 

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 30-years of Service Excellence”

www.FuelManagerServices.com

“To give real service you must add something which cannot be bought or measured with money, and that is sincerity and integrity.” ~ Douglas Adams

Fueling Strategy: Please “PARTIAL FILL ONLY” today/tonight, Prices are down 18 cents today BUT Saturday diesel will drop another 15 Cents, Sunday prices will go back up 3.5 cents  ~ Be Safe

NMEX Crude      $ 82.79 UP $.4800

NYMEX ULSD     $2.9008 UP $.0321

NYMEX Gas       $2.1922 UP $.0032

NEWS

November WTI crude oil on Friday closed up +0.48 (+0.58%), and Nov RBOB gasoline closed up +0.32 (+0.15%). Nov WTI crude oil and gasoline prices Friday posted moderate gains.  Bullish factors included a weaker dollar and the outlook for global crude supplies to remain tight.   Also, Friday’s mostly stronger-than-expected global economic news supported energy demand and crude prices.  A negative factor was concern the Fed will tighten monetary policy further after U.S. Sep nonfarm payrolls rose more than expected.

Global economic news Friday was mostly better than expected and supported energy demand and crude prices.  On the bullish side, U.S. Sep nonfarm payrolls surged +336,000, well above expectations of +170,000 and the largest increase in eight months.  Also, German Aug factory orders rose +3.9% m/m, stronger than expectations of +1.5% m/m.  Conversely, Japan Aug household spending fell -2.5% y/y, a smaller decline than expectations of -3.9% y/y.  A supportive factor for crude was Thursday’s action by Saudi Arabia’s state-owned Aramco to raise the price of its Arab light crude to Asian customers for November delivery by 40 cents per bbl, above expectations of 20 cents.

A negative factor for energy prices was Friday’s action by Russia to lift its ban on diesel exports.  Russia said diesel exports can resume, provided the fuel is delivered to its ports by pipeline and not seaborne.   Late last month, Russia halted gasoline and diesel exports to stabilize domestic fuel prices.  The tightness in the oil market is expected to continue due to the extension of OPEC+ production cuts.  Saudi Arabia recently said it would maintain its unilateral crude production cut of 1.0 million bpd through December.  The move will hold Saudi Arabia’s crude output at about 9 million bpd, the lowest level in three years.  Russia also recently announced that it would maintain its 300,000 bpd cut in crude production through December.   Saudi Arabia and Russia on Wednesday announced that they will maintain their crude production cuts until the end of the year.   OPEC Sep crude production was little changed, rising +50,000 bpd to 27.97 million 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 -11% w/w to 82.52 million bbl as of Sep 29.

The U.S. and Iran announced late last month a prisoner exchange and the unlocking of $6 billion of Iranian funds.  Improved U.S.-Iran relations could result in the eventual resumption of nuclear talks, with any deal leading to relaxed Iran sanctions and increased Iranian oil exports.  According to TankerTrackers.com, Iranian crude exports rose to a 5-year high of 2.2 million bpd during the first 20 days of August, with most of the crude going to China.

Wednesday’s EIA report showed that (1) U.S. crude oil inventories as of Sep 29 were -4.5% below the seasonal 5-year average, (2) gasoline inventories were +1.1% above the seasonal 5-year average, and (3) distillate inventories were -12.8% below the 5-year seasonal average.  U.S. crude oil production in the week ended Sep 29 was unchanged w/w at 12.9 million bpd, the most in 3-1/2 years.  U.S. crude oil production is modestly below the Feb-2020 record-high of 13.1 million bpd.

Baker Hughes reported Friday that active U.S. oil rigs in the week ended Oct 6 fell by -5 to a 20-month low of 497 rigs.  That is well below the 3-1/4 year high of 627 rigs posted on Dec 2, 2022.  Still, U.S. active oil rigs have roughly tripled from the 18-year low of 172 rigs seen in Aug 2020, signaling an increase in U.S. crude oil production capacity from pandemic lows.

Have a Great Day,

Loren R Bailey, President

Office: 479-846-2761

Cell: 479-790-5581

SCHEDULED OUT OF OFFICE

OCT 13 Out After 14:00

NOV 02 All Day

NOV 03 In Office @ 14:00

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 30-years of Service Excellence”

www.FuelManagerServices.com

“To give real service you must add something which cannot be bought or measured with money, and that is sincerity and integrity.” ~ Douglas Adams

The Georgia Motor Fuel Tax suspension has been extended from October 12, 2023 until end of day November 11, 2023.

Have a Great Day,

Loren R Bailey, President

Office: 479-846-2761

Cell: 479-790-5581

SCHEDULED OUT OF OFFICE

OCT 13 Out After 14:00

NOV 02 All Day

NOV 03 In Office @ 14:00

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 30-years of Service Excellence”

www.FuelManagerServices.com

“To give real service you must add something which cannot be bought or measured with money, and that is sincerity and integrity.” ~ Douglas Adams

Fueling Strategy: Please “PARTIAL FILL ONLY” today/tonight, Friday prices will DROP 18 CENTS!!! then Saturday diesel will drop another 15 Cents  ~ Be Safe

NMEX Crude      $ 82.31 DN $1.9100

NYMEX ULSD     $2.8687 DN $0.1491

NYMEX Gas       $2.1890 DN $0.0090

NEWS

November WTI crude oil on Thursday closed down -1.91 (-2.27%), and Nov RBOB gasoline closed down -0.90 (-0.41%). Nov WTI crude oil and gasoline prices on Thursday extended Wednesday’s sharp losses, with crude falling to a 5-week low and gasoline dropping to a 9-1/2 month low.   Crude prices are sliding on concern that slowing global growth will erode energy demand and consumption.  A weaker dollar Thursday limited the downside in energy prices.

Global economic news Thursday was mixed for energy demand and crude prices.  On the bearish side,  German Aug exports fell -1.2% m/m, weaker than expectations of -0.6% m/m.  Also, the German Sep S&P construction PMI fell -2.2 to 39.3, the weakest level since the data series began in 2020.  Conversely, U.S. weekly initial unemployment claims rose +2,000 to 207,000, showing a stronger labor market than expectations of 210,000. Weakness in the crude crack spread is bearish for crude prices.  Thursday’s crack spread fell to a 20-month low, discouraging refiners from purchasing crude oil and refining it into gasoline and distillates.

A supportive factor for crude was Thursday’s action by Saudi Arabia’s state-owned Saudi Aramco to raise the price of its Arab light crude to Asian customers for November delivery by 40 cents per bbl, above expectations of 20 cents. The outlook for tighter global fuel supplies is supportive for crude.  Late last month, Russia said it would ban gasoline and diesel exports in an attempt to stabilize domestic fuel prices.   The ban will take out about 1 million bpd of fuel supplies, or about 3.4% of total global demand according to Vortexa data, and will squeeze supplies further in an already tight global energy market. The tightness in the oil market is expected to continue due to the extension of OPEC+ production cuts.  Saudi Arabia recently said it would maintain its unilateral crude production cut of 1.0 million bpd through December.  The move will hold Saudi Arabia’s crude output at about 9 million bpd, the lowest level in three years.  Russia also recently announced that it would maintain its 300,000 bpd cut in crude production through December.   Saudi Arabia and Russia on Wednesday announced that they will maintain their crude production cuts until the end of the year.   OPEC Sep crude production was little changed, rising +50,000 bpd to 27.97 million 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 -11% w/w to 82.52 million bbl as of Sep 29.

The U.S. and Iran announced late last month a prisoner exchange and the unlocking of $6 billion of Iranian funds.  Improved U.S.-Iran relations could result in the eventual resumption of nuclear talks, with any deal leading to relaxed Iran sanctions and increased Iranian oil exports.  According to TankerTrackers.com, Iranian crude exports rose to a 5-year high of 2.2 million bpd during the first 20 days of August, with most of the crude going to China.

Wednesday’s EIA report showed that (1) U.S. crude oil inventories as of Sep 29 were -4.5% below the seasonal 5-year average, (2) gasoline inventories were +1.1% above the seasonal 5-year average, and (3) distillate inventories were -12.8% below the 5-year seasonal average.  U.S. crude oil production in the week ended Sep 29 was unchanged w/w at 12.9 million bpd, the most in 3-1/2 years.  U.S. crude oil production is modestly below the Feb-2020 record-high of 13.1 million bpd.

Baker Hughes reported last Friday that active U.S. oil rigs in the week ended Sep 29 fell -5 to a 19-3/4 month low of 502 rigs.  That is well below the 3-1/4 year high of 627 rigs posted on Dec 2, 2022.  Still, U.S. active oil rigs have roughly tripled from the 18-year low of 172 rigs seen in Aug 2020, signaling an increase in U.S. crude oil production capacity from pandemic lows.

Have a Great Day,

Loren R Bailey, President

Office: 479-846-2761

Cell: 479-790-5581

SCHEDULED OUT OF OFFICE

OCT 13 Out After 14:00

NOV 02 All Day

NOV 03 In Office @ 14:00

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 30-years of Service Excellence”

www.FuelManagerServices.com

“To give real service you must add something which cannot be bought or measured with money, and that is sincerity and integrity.” ~ Douglas Adams

Fueling Strategy: Please “PARTIAL FILL ONLY” today/tonight, Thursday prices will fall almost 3 Cents BUT Friday LOOK for prices to DROP 18 CENTS!!!  ~ Be Safe

NMEX Crude      $ 84.22 DN $5.0100

NYMEX ULSD     $3.0178 DN $0.1776

NYMEX Gas       $2.1980 DN $0.1621

NEWS

November WTI crude oil on Wednesday closed down -5.01 (-5.61%), and Nov RBOB gasoline closed down -16.21 (-6.87%). Nov WTI crude oil and gasoline prices on Wednesday sold off sharply, with crude falling to a 5-week low and gasoline tumbling to a 9-1/2 month low.   Wednesday’s weaker-than-expected U.S. Sep ADP employment report signals a slowdown in the labor market that is bearish for energy demand and oil prices.  Crude prices extended their losses despite an unexpected decline in EIA crude inventories after weakness in U.S. gasoline demand led to an unexpected surge in EIA gasoline supplies.

Global economic news Wednesday was mixed for energy demand and crude prices.  On the bearish side,  the U.S. Sep ADP employment change rose +89,000, weaker than expectations of +150,000 and the smallest increase in over 2-1/2 years.  Also, Eurozone Aug retail sales fell -1.2% m/m, weaker than expectations of -0.5% m/m and the biggest decline in 8 months.

On the bullish side, the U.S. Sep ISM services index fell -0.9 to 53.6, stronger than expectations of 53.5.  Also, U.S. Aug factory orders rose +1.2% m/m, stronger than expectations of +0.3% m/m.  In addition, Japan Sep Jibun Bank services PMI was revised upward by +0.5 to 53.8 from the initially reported 53.3. Weakness in the crude crack spread is bearish for crude prices.  Wednesday’s crack spread dropped to a 20-month low, discouraging refiners from purchasing crude oil and refining it into gasoline and distillates.

The outlook for tighter global fuel supplies is supportive for crude.  Late last month, Russia said it would ban gasoline and diesel exports in an attempt to stabilize domestic fuel prices.   The ban will take out about 1 million bpd of fuel supplies, or about 3.4% of total global demand according to Vortexa data, and will squeeze supplies further in an already tight global energy market.

The tightness in the oil market is expected to continue due to the extension of OPEC+ production cuts.  Saudi Arabia recently said it would maintain its unilateral crude production cut of 1.0 million bpd through December.  The move will hold Saudi Arabia’s crude output at about 9 million bpd, the lowest level in three years.  Russia also recently announced that it would maintain its 300,000 bpd cut in crude production through December.   Saudi Arabia and Russia on Wednesday announced that they will maintain their crude production cuts until the end of the year.   OPEC Sep crude production was little changed, rising +50,000 bpd to 27.97 million 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 -11% w/w to 82.52 million bbl as of Sep 29.

The U.S. and Iran announced late last month a prisoner exchange and the unlocking of $6 billion of Iranian funds.  Improved U.S.-Iran relations could result in the eventual resumption of nuclear talks, with any deal leading to relaxed Iran sanctions and increased Iranian oil exports.  According to TankerTrackers.com, Iranian crude exports rose to a 5-year high of 2.2 million bpd during the first 20 days of August, with most of the crude going to China.

Wednesday’s weekly EIA report is mixed for crude.  On the bearish side, EIA gasoline inventories unexpectedly surged +6.48 million bbl versus expectations of a -300,000 bbl draw as U.S gasoline demand in the week ended Sep 29 fell -7.0% w/w to 8.01 million bpd, the lowest in almost nine months.  Also, crude supplies at Cushing, the delivery point of WTI futures, rose +132,000 bbl.  On the bullish side, EIA crude inventories unexpectedly fell -2.22 million bbl to a 10-month low versus expectations of a +50,000 bbl build.  Also, EIA distillate stockpiles fell -1.27 million bbl, a larger draw than expectations of -68,000 bbl.

Wednesday’s EIA report showed that (1) U.S. crude oil inventories as of Sep 29 were -4.5% below the seasonal 5-year average, (2) gasoline inventories were +1.1% above the seasonal 5-year average, and (3) distillate inventories were -12.8% below the 5-year seasonal average.  U.S. crude oil production in the week ended Sep 29 was unchanged w/w at 12.9 million bpd, the most in 3-1/2 years.  U.S. crude oil production is modestly below the Feb-2020 record-high of 13.1 million bpd.

Baker Hughes reported last Friday that active U.S. oil rigs in the week ended Sep 29 fell -5 to a 19-3/4 month low of 502 rigs.  That is well below the 3-1/4 year high of 627 rigs posted on Dec 2, 2022.  Still, U.S. active oil rigs have roughly tripled from the 18-year low of 172 rigs seen in Aug 2020, signaling an increase in U.S. crude oil production capacity from pandemic lows.

Have a Great Day,

Loren R Bailey, President

Office: 479-846-2761

Cell: 479-790-5581

SCHEDULED OUT OF OFFICE

OCT 13 Out After 14:00

NOV 02 All Day

NOV 03 In Office @ 14:00

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 30-years of Service Excellence”

www.FuelManagerServices.com

“To give real service you must add something which cannot be bought or measured with money, and that is sincerity and integrity.” ~ Douglas Adams

Fueling Strategy: Please “PARTIAL FILL ONLY” today/tonight due to Wednesday prices will fall almost 8 Cents and Thursday look for another 3 ~ Be Safe

NMEX Crude      $ 89.23 UP $.4100

NYMEX ULSD     $3.1954 DN $.0271

NYMEX Gas       $2.3601 DN $.0521

NEWS

November WTI crude oil on Tuesday closed up +0.41 (+0.46%), and Nov RBOB gasoline closed down -5.21 (-2.16%). Nov WTI crude oil and gasoline prices on Tuesday settled mixed, with gasoline falling to a 5-month low.  Tuesday’s rally in the dollar index to a 10-1/4 month high is negative for energy prices.  Crude prices have support on tightness in global crude supplies.  Gains in crude were limited, and gasoline fell, as Tuesday’s jump in T-note yields to a 16-year high may curb economic growth and energy demand. Weakness in the crude crack spread is bearish for crude prices.  Tuesday’s crack spread dropped to a 19-month low, discouraging refiners from purchasing crude oil and refining it into gasoline and distillates.

The outlook for tighter global fuel supplies is supportive for crude.  Late last month, Russia said it would ban gasoline and diesel exports in an attempt to stabilize domestic fuel prices.   The ban will take out about 1 million bpd of fuel supplies, or about 3.4% of total global demand according to Vortexa data, and will squeeze supplies further in an already tight global energy market. The tightness in the oil market is expected to continue due to the extension of OPEC+ production cuts.  Saudi Arabia recently said it would maintain its unilateral crude production cut of 1.0 million bpd through December.  The move will hold Saudi Arabia’s crude output at about 9 million bpd, the lowest level in three years.  Russia also recently announced that it would maintain its 300,000 bpd cut in crude production through December.  OPEC+ is scheduled to meet on Wednesday and is expected to maintain its production cuts.  OPEC Sep crude production was little changed, rising +50,000 bpd to 27.97 million 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 -11% w/w to 82.52 million bbl as of Sep 29. The U.S. and Iran announced late last month a prisoner exchange and the unlocking of $6 billion of Iranian funds.  Improved U.S.-Iran relations could result in the eventual resumption of nuclear talks, with any deal leading to relaxed Iran sanctions and increased Iranian oil exports.  According to TankerTrackers.com, Iranian crude exports rose to a 5-year high of 2.2 million bpd during the first 20 days of August, with most of the crude going to China.

The consensus is for Wednesday’s weekly EIA crude inventories to climb by +50,000 bbl. Last Wednesday’s EIA report showed that (1) U.S. crude oil inventories as of Sep 22 were -3.4% below the seasonal 5-year average, (2) gasoline inventories were -2.2% below the seasonal 5-year average, and (3) distillate inventories were -13.2% below the 5-year seasonal average.  U.S. crude oil production in the week ended Sep 22 was unchanged w/w at 12.9 million bpd, the most in 3-1/2 years.  U.S. crude oil production is modestly below the Feb-2020 record-high of 13.1 million bpd.

Baker Hughes reported last Friday that active U.S. oil rigs in the week ended Sep 29 fell -5 to a 19-3/4 month low of 502 rigs.  That is well below the 3-1/4 year high of 627 rigs posted on Dec 2, 2022.  Still, U.S. active oil rigs have roughly tripled from the 18-year low of 172 rigs seen in Aug 2020, signaling an increase in U.S. crude oil production capacity from pandemic lows.

Tuesday’s U.S. economic news was better than expected and was bullish for energy demand and crude prices after the Aug JOLTS job openings unexpectedly rose +690,000 to 9.610 million, showing a stronger labor market than expectations for a decline to 8.815 million.

Hawkish Fed comments on Tuesday pushed the 10-year T-note yield to a 16-year high, which may weigh on economic growth and energy demand.  Cleveland Fed President Mester said, “I suspect we may well need to raise the fed funds rate once more this year and then hold it there for some time.”  Also, Atlanta Fed President Bostic said the Fed still “has a ways to go” on inflation, and he wants to hold interest rates at elevated levels “for a long time.”

Have a Great Day,

Loren R Bailey, President

Office: 479-846-2761

Cell: 479-790-5581

SCHEDULED OUT OF OFFICE 

OCT 13 Out After 14:00

NOV 02 All Day

NOV 03 In Office @ 14:00

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 30-years of Service Excellence”

www.FuelManagerServices.com

“To give real service you must add something which cannot be bought or measured with money, and that is sincerity and integrity.” ~ Douglas Adams

Fueling Strategy: Please “FUEL AS NEEDED” today/tonight, Tuesday Please “Partial Fill Only” due to Wednesday prices will drop 8 cents ~ Be Safe

NMEX Crude      $ 88.82 DN $1.9700

NYMEX ULSD     $3.2225 DN $0.0781

NYMEX Gas       $2.4122 UP $0.0127

NEWS

November WTI crude oil on Monday closed down -1.97 (-2.17%), and Nov RBOB gasoline closed up +1.27 (+0.53%). Nov WTI crude oil and gasoline prices on Monday settled mixed.  Monday’s rally in the dollar index to a 10-month high was bearish for energy prices.  Crude prices also fell on the threat of higher interest rates that could slow economic growth and energy demand after Fed Governor Bowman said, “I continue to expect that further interest rate increases will likely be needed to return inflation to 2% in a timely way as high energy prices could reverse some of the progress we have seen on inflation in recent months.” However, Monday’s global manufacturing news was better than expected and was bullish for energy demand and crude prices.  The U.S. Sep ISM manufacturing index rose +1.4 to 49.0, stronger than expectations of 47.9.  Also, the China Sep manufacturing PMI rose +0.5 to a 6-month high of 50.2, stronger than expectations of 50.1.

Comments on Monday from United Arab Emirates Energy Minister Suhail Al Mazrouei supported crude prices since he signaled he favors maintaining OPEC+ crude production cuts by saying the alliance has “the right policy.” The outlook for tighter global fuel supplies is supportive for crude.  Late last month, Russia said it would ban gasoline and diesel exports in an attempt to stabilize domestic fuel prices.   The ban will take out about 1 million bpd of fuel supplies, or about 3.4% of total global demand according to Vortexa data, and will squeeze supplies further in an already tight global energy market. The tightness in the oil market is expected to continue due to the extension of OPEC+ production cuts.  Saudi Arabia recently said it would maintain its unilateral crude production cut of 1.0 million bpd through December.  The move will hold Saudi Arabia’s crude output at about 9 million bpd, the lowest level in three years.  Russia also recently announced that it would maintain its 300,000 bpd cut in crude production through December.  OPEC+ is scheduled to meet on Wednesday and is expected to maintain its production cuts.  OPEC Sep crude production was little changed, rising +50,000 bpd to 27.97 million 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 -11% w/w to 82.52 million bbl as of Sep 29.

The U.S. and Iran announced late last month a prisoner exchange and the unlocking of $6 billion of Iranian funds.  Improved U.S.-Iran relations could result in the eventual resumption of nuclear talks, with any deal leading to relaxed Iran sanctions and increased Iranian oil exports.  According to TankerTrackers.com, Iranian crude exports rose to a 5-year high of 2.2 million bpd during the first 20 days of August, with most of the crude going to China.

Last Wednesday’s EIA report showed that (1) U.S. crude oil inventories as of Sep 22 were -3.4% below the seasonal 5-year average, (2) gasoline inventories were -2.2% below the seasonal 5-year average, and (3) distillate inventories were -13.2% below the 5-year seasonal average.  U.S. crude oil production in the week ended Sep 22 was unchanged w/w at 12.9 million bpd, the most in 3-1/2 years.  U.S. crude oil production is modestly below the Feb-2020 record-high of 13.1 million bpd.

Baker Hughes reported last Friday that active U.S. oil rigs in the week ended Sep 29 fell -5 to a 19-3/4 month low of 502 rigs.  That is well below the 3-1/4 year high of 627 rigs posted on Dec 2, 2022.  Still, U.S. active oil rigs have roughly tripled from the 18-year low of 172 rigs seen in Aug 2020, signaling an increase in U.S. crude oil production capacity from pandemic lows.

Have a Great Day,

Loren R Bailey, President

Office: 479-846-2761

Cell: 479-790-5581

SCHEDULED OUT OF OFFICE

OCT 13 Out After 14:00

NOV 02 All Day

NOV 03 In Office @ 14:00

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

“To give real service you must add something which cannot be bought or measured with money, and that is sincerity and integrity.” ~ Douglas Adams

Fueling Strategy: Please “FUEL AS NEEDED” today/tonight, Saturday prices will remain flat then Sunday look for a 4 to 4.5 cent jump in prices, Be Safe

NMEX Crude      $ 90.79 DN $.9200

NYMEX ULSD     $3.3622 UP $.0442

NYMEX Gas       $2.4399 DN $.0654

NEWS

November WTI crude oil on Friday closed down -0.92 (-1.00%), and Nov RBOB gasoline closed down -6.67 (-2.70%). Nov WTI crude oil and gasoline prices Friday retreated, with gasoline tumbling to a 4-1/2 month low.  Crude prices were under pressure after Friday’s weaker-than-expected global economic news sparked concerns that a slowdown in the global economy will undercut energy demand.  A weaker dollar Friday limited losses in crude.  Also, tight global crude supplies are a bullish factor for prices.

Friday’s global economic news was mostly weaker than expected and bearish for energy demand and crude prices.  U.S. Aug personal spending rose +0.4% m/m, weaker than expectations of +0.5% m/m.  Also, the U.S. Sep MNI Chicago PMI fell -4.6 to 44.1, weaker than expectations of 47.6.  In addition, German Aug retail sales unexpectedly fell -1.2 % m/m, weaker than expectation of an increase of +0.5% m/m and the biggest decline in 8 months.  Finally, Japan Sep consumer confidence index fell -1.0 to a 6-month low of 35.2, weaker than expectations of no change at 36.2.

The outlook for tighter global fuel supplies is supportive for crude.  Last Thursday, Russia said it would ban gasoline and diesel exports in an attempt to stabilize domestic fuel prices.   The ban will take out about 1 million bpd of fuel supplies, or about 3.4% of total global demand according to Vortexa data, and will squeeze supplies further in an already tight global energy market.

The tightness in the oil market is expected to continue due to the extension of OPEC+ production cuts.  Saudi Arabia recently said it would maintain its unilateral crude production cut of 1.0 million bpd through December.  The move will hold Saudi Arabia’s crude output at about 9 million bpd, the lowest level in three years.  Russia also recently announced that it would maintain its 300,000 bpd cut in crude production through December.  Russian crude oil shipments in August dropped to 2.28 million bpd, down -9% m/m and the lowest daily average in eleven months.

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 +11% w/w to 95.93 million bbl as of Sep 22.

The U.S. and Iran last Monday announced a prisoner exchange and the unlocking of $6 billion of Iranian funds.  Improved U.S.-Iran relations could result in the eventual resumption of nuclear talks, with any deal leading to relaxed Iran sanctions and increased Iranian oil exports.  According to TankerTrackers.com, Iranian crude exports rose to a 5-year high of 2.2 million bpd during the first 20 days of August, with most of the crude going to China.

Wednesday’s EIA report showed that (1) U.S. crude oil inventories as of Sep 22 were -3.4% below the seasonal 5-year average, (2) gasoline inventories were -2.2% below the seasonal 5-year average, and (3) distillate inventories were -13.2% below the 5-year seasonal average.  U.S. crude oil production in the week ended Sep 22 was unchanged w/w at 12.9 million bpd, the most in 3-1/2 years.  U.S. crude oil production is modestly below the Feb-2020 record-high of 13.1 million bpd.

Baker Hughes reported Friday that active U.S. oil rigs in the week ended Sep 29 fell -5 to a 19-3/4 month low of 502 rigs.  That is well below the 3-1/4 year high of 627 rigs posted on Dec 2, 2022.  Still, U.S. active oil rigs have roughly tripled from the 18-year low of 172 rigs seen in Aug 2020, signaling an increase in U.S. crude oil production capacity from pandemic lows.

Have a Great Day,

Loren R Bailey, President

Office: 479-846-2761

Cell: 479-790-5581

SCHEDULED OUT OF OFFICE

OCT 13 Out After 14:00

NOV 02 All Day

NOV 03 In Office @ 14:00

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 30-years of Service Excellence”

www.FuelManagerServices.com

“To give real service you must add something which cannot be bought or measured with money, and that is sincerity and integrity.” ~ Douglas Adams

Fueling Strategy: Please “KEEP YOUR TANKS TOPPED” today/tonight, Friday prices will JUMP UP 9 cents ~Be Safe

NMEX Crude      $ 91.71 DN $1.9700

NYMEX ULSD     $3.3180 UP $0.0033

NYMEX Gas       $2.5053 DN $0.0933

Have a Great Day,

Loren R Bailey, President

Office: 479-846-2761

Cell: 479-790-5581

SCHEDULED OUT OF OFFICE 

OCT 13 Out After 14:00

NOV 02 All Day

NOV 03 In Office @ 14:00

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 30-years of Service Excellence”

www.FuelManagerServices.com

“To give real service you must add something which cannot be bought or measured with money, and that is sincerity and integrity.” ~ Douglas Adams