Fueling Strategy: Please keep your tanks topped today, and tonight before 23:00 CST have tanks completely full of fuel, Wednesday prices will jump UP 6 cents~Be Safe

NMEX Crude      $ 73.71 UP $.5500

NYMEX ULSD     $2.3902 UP $.0125

NYMEX Gas       $2.4799 UP $.0183

NEWS

June WTI crude oil closed up .55 (.006%), and June RBOB gasoline closed up 1.83 (.007%).

Crude oil and gasoline prices this morning are moderately lower.  A stronger dollar today is weighing on energy prices along with weakness in stocks, which undercuts confidence in the economic outlook and energy demand.   Also, signs of economic weakness in China are bearish for energy demand and crude prices.

Chinese trade data today showed China’s Apr imports fell -7.9% y/y, weaker than expectations of -0.1% y/y, which bolsters concerns about China’s economic recovery and is bearish for energy demand and crude prices.

Crude has support on a reduction of Canadian crude output after wildfires in Alberta halted about 145,000 bpd of crude production from several Canadian crude producers.

Strength in the crude crack spread is bullish for oil prices as the crack spread rose to a 1-1/2 week high today, encouraging refiners to boost their crude purchases and refine the crude into gasoline and distillates.

In a bullish factor, Vortexa reported Monday that the amount of crude stored on tankers that have been stationary for at least a week fell -16% w/w to 78.03 million bbl in the week ended May 5 to the lowest in 3 months.

Signs of stronger Chinese fuel demand are supportive for crude prices after China’s Ministry of Culture and Tourism reported last Thursday that the number of domestic trips made over the five-day Golden Week holidays reached 274 million, up +19% from the pre-pandemic level in 2019 and almost +71% higher than last year.

Strength in energy demand in India, the world’s third largest crude consumer, is bullish for prices after India’s Ministry of Petroleum and Natural Gas reported India’s Mar crude processing rose +3.1% y/y to 23 MMT.  Also, India’s Mar crude imports rose +7.9% y/y to 20.5 MMT.

The ongoing halt of Iraqi crude exports from the Turkish port of Ceyhan is tightening global oil supplies and is bullish for crude prices.  The Turkish government said it wants to negotiate a $1.5 billion settlement that it has been ordered to pay before allowing Iraqi crude exports to resume through its pipeline.  Oil exports of 400,000 bpd from the Turkish port of Ceyhan have been halted since March 25 after Iraq won an arbitration case from the International Chamber of Commerce that said Turkey violated a 1973 pipeline transit agreement by allowing crude from the Kurdish region to be exported without Iraqi government consent.

Crude oil prices are being undercut by signs that Russia has not delivered on its threat to cut crude output.  Tanker-tracking data from Bloomberg shows Russia’s crude exports jumped above 4 million bpd in the week of April 28.  Russia has halted the publication of crude and condensate production data in an attempt to disguise if it has actually cut crude output.

Crude prices surged on April 3 after OPEC+ announced a surprise oil production cut of more than 1 million bpd starting May 1.  Saudi Arabia said the cuts were a “precautionary measure aimed at supporting the stability of the oil market.”  OPEC Mar crude production fell by -80,000 bpd to 29.16 million bpd.

Last Wednesday’s EIA report showed that (1) U.S. crude oil inventories as of April 28 were -1.9% below the seasonal 5-year average, (2) gasoline inventories were -6.2% below the seasonal 5-year average, and (3) distillate inventories were -12.5% below the 5-year seasonal average.  U.S. crude oil production in the week ended April 28 rose +0.8% w/w to 12.3 million bpd, only 0.8 million bpd (-6.1%) 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 May 5 fell -3 to 588 rigs, moderately below the 2-1/2 year high of 627 rigs posted on December 2.  U.S. active oil rigs have more than tripled from the 17-year low of 172 rigs seen in Aug 2020, signaling an increase in U.S. crude oil production capacity.

Have a Great Day,

Loren R Bailey, President

Office: 479-846-2761

Cell: 479-790-5581

SCHEDULED OUT OF OFFICE

JUNE 15 TO JUNE 18, 2023

JULY  22 TO JULY 30, 2023

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 keep tanks topped and before 23:00 CST have tanks completely full of fuel~Be Safe

NMEX Crude      $ 73.16 UP $1.8200

NYMEX ULSD     $2.3777 UP $0.0630

NYMEX Gas       $2.4616 UP $0.0826

NEWS

June WTI crude oil on Monday closed up +1.82 (+2.55%), and June RBOB gasoline closed up +8.26 (+3.47%).

Crude oil and gasoline prices Monday settled moderately higher.  Crude prices rose Monday on carry over support from last Friday’s stronger-than-expected U.S. Apr payroll report that eased recession fears and raised expectations for stronger U.S. energy demand.

Also, crude rallied Monday on a reduction of Canadian crude output after wildfires in Alberta halted about 145,000 bpd of crude production from several Canadian crude producers.

In a bullish factor, Vortexa reported Monday that the amount of crude stored on tankers that have been stationary for at least a week fell -16% w/w to 78.03 million bbl in the week ended May 5 to the lowest in 3 months.

Signs of stronger Chinese fuel demand are supportive for crude prices after China’s Ministry of Culture and Tourism reported last Thursday that the number of domestic trips made over the five-day Golden Week holidays reached 274 million, up +19% from the pre-pandemic level in 2019 and almost +71% higher than last year.

Strength in energy demand in India, the world’s third largest crude consumer, is bullish for prices after India’s Ministry of Petroleum and Natural Gas reported India’s Mar crude processing rose +3.1% y/y to 23 MMT.  Also, India’s Mar crude imports rose +7.9% y/y to 20.5 MMT.

The ongoing halt of Iraqi crude exports from the Turkish port of Ceyhan is tightening global oil supplies and is bullish for crude prices.  The Turkish government said it wants to negotiate a $1.5 billion settlement that it has been ordered to pay before allowing Iraqi crude exports to resume through its pipeline.  Oil exports of 400,000 bpd from the Turkish port of Ceyhan have been halted since March 25 after Iraq won an arbitration case from the International Chamber of Commerce that said Turkey violated a 1973 pipeline transit agreement by allowing crude from the Kurdish region to be exported without Iraqi government consent.

Crude oil prices are being undercut by signs that Russia has not delivered on its threat to cut crude output.  Tanker-tracking data from Bloomberg shows Russia’s crude exports jumped above 4 million bpd in the week of April 28.  Russia has halted the publication of crude and condensate production data in an attempt to disguise if it has actually cut crude output.

Crude prices surged on April 3 after OPEC+ announced a surprise oil production cut of more than 1 million bpd starting May 1.  Saudi Arabia said the cuts were a “precautionary measure aimed at supporting the stability of the oil market.”  OPEC Mar crude production fell by -80,000 bpd to 29.16 million bpd.

Last Wednesday’s EIA report showed that (1) U.S. crude oil inventories as of April 28 were -1.9% below the seasonal 5-year average, (2) gasoline inventories were -6.2% below the seasonal 5-year average, and (3) distillate inventories were -12.5% below the 5-year seasonal average.  U.S. crude oil production in the week ended April 28 rose +0.8% w/w to 12.3 million bpd, only 0.8 million bpd (-6.1%) 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 May 5 fell -3 to 588 rigs, moderately below the 2-1/2 year high of 627 rigs posted on December 2.  U.S. active oil rigs have more than tripled from the 17-year low of 172 rigs seen in Aug 2020, signaling an increase in U.S. crude oil production capacity.

Have a Great Day,

Loren R Bailey, President

Office: 479-846-2761

Cell: 479-790-5581

SCHEDULED OUT OF OFFICE

JUNE 15 TO JUNE 18, 2023

JULY  22 TO JULY 30, 2023

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 prices are down almost 5 cents and Saturday prices will go up 1/2 cent~Be Safe

NMEX Crude      $ 71.34 UP $2.7800

NYMEX ULSD     $2.3147 UP $0.0760

NYMEX Gas       $2.3790 UP $0.0531

NEWS

June WTI crude oil on Friday closed up +2.78 (+4.05%), and June RBOB gasoline closed up +5.31 (+2.28%).

Crude oil and gasoline prices Friday settled sharply higher.  A weaker dollar Friday was supportive of energy prices.  Crude prices also moved higher after Friday’s stronger-than-expected U.S. Apr payroll report eased concerns that the U.S. economy is headed for recession.

Friday’s U.S. payroll report was bullish for energy demand and crude prices.  Apr nonfarm payrolls rose +253,000, stronger than expectations of +185,000.  Also, the Apr unemployment rate unexpectedly fell -0.1 to a 54-year low of 3.4%.

Signs of stronger Chinese fuel demand are supportive for crude prices after China’s Ministry of Culture and Tourism reported Thursday that the number of domestic trips made over the five-day Golden Week holidays reached 274 million, up +19% from the pre-pandemic level in 2019 and almost +71% higher than last year.

In a bullish factor, Vortexa reported Monday that the amount of crude stored on tankers that have been stationary for at least a week fell -7.2% w/w to 88.87 million bbl in the week ended April 28.

Strength in energy demand in India, the world’s third largest crude consumer, is bullish for prices after India’s Ministry of Petroleum and Natural Gas reported India’s Mar crude processing rose +3.1% y/y to 23 MMT.  Also, India’s Mar crude imports rose +7.9% y/y to 20.5 MMT.

The ongoing halt of Iraqi crude exports from the Turkish port of Ceyhan is tightening global oil supplies and is bullish for crude prices.  The Turkish government said it wants to negotiate a $1.5 billion settlement that it has been ordered to pay before allowing Iraqi crude exports to resume through its pipeline.  Oil exports of 400,000 bpd from the Turkish port of Ceyhan have been halted since March 25 after Iraq won an arbitration case from the International Chamber of Commerce that said Turkey violated a 1973 pipeline transit agreement by allowing crude from the Kurdish region to be exported without Iraqi government consent.

Crude oil prices are also being undercut by signs that Russia has not delivered on its threat to cut crude output.  Tanker-tracking data from Bloomberg shows Russia’s crude exports jumped above 4 million bpd in the week of April 28.  Russia has halted the publication of crude and condensate production data in an attempt to disguise if it has actually cut crude output.

Crude prices surged on April 3 after OPEC+ announced a surprise oil production cut of more than 1 million bpd starting May 1.  Saudi Arabia said the cuts were a “precautionary measure aimed at supporting the stability of the oil market.”  OPEC Mar crude production fell by -80,000 bpd to 29.16 million bpd.

Wednesday’s EIA report showed that (1) U.S. crude oil inventories as of April 28 were -1.9% below the seasonal 5-year average, (2) gasoline inventories were -6.2% below the seasonal 5-year average, and (3) distillate inventories were -12.5% below the 5-year seasonal average.  U.S. crude oil production in the week ended April 28 rose +0.8% w/w to 12.3 million bpd, only 0.8 million bpd (-6.1%) 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 May 5 fell -3 to 588 rigs, moderately below the 2-1/2 year high of 627 rigs posted on December 2.  U.S. active oil rigs have more than tripled from the 17-year low of 172 rigs seen in Aug 2020, signaling an increase in U.S. crude oil production capacity.

Have a Great Day,

Loren R Bailey, President

Office: 479-846-2761

Cell: 479-790-5581

SCHEDULED OUT OF OFFICE

JUNE 15 TO JUNE 18, 2023

JULY  22 TO JULY 30, 2023

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 prices are down almost 10 cents and Friday look for another 5 to 6 cent drop~Be Safe

NMEX Crude      $ 68.56 DN $.0400

NYMEX ULSD     $2.2387 UP $.0064

NYMEX Gas       $2.3259 UP $.0038

NEWS

Crude oil and gasoline prices Thursday settled mixed, with crude falling to a 5-month low.  A stronger dollar Thursday weighed on energy prices.  Crude oil prices also fell on concern that the ongoing U.S. banking turmoil and the Fed’s rate hikes will slow the economy and energy demand.  The Fed raised interest rates by 25 bp Wednesday, and the ECB raised rates by +25 bp Thursday and signaled more rate increases are coming.  Crude prices rebounded from their worst levels on signs of strength in Chinese fuel demand.

Thursday’s global economic news was weaker than expected and was bearish for energy demand.  U.S. weekly initial unemployment claims rose +13,000 to 242,000, showing a weaker labor market than expectations of 240,000.  Also, the Eurozone Apr composite PMI was revised downward by -0.3 to 54.1 from the initially reported 54.4.  In addition, the China Apr Caixin manufacturing PMI fell -0.5 to 49.5, weaker than expectations of no change at 50.0.

Crude oil prices are also being undercut by signs that Russia has not delivered on its threat to cut crude output.  Tanker-tracking data from Bloomberg shows Russia’s crude exports jumped above 4 million bpd in the week of April 28.  Russia has halted the publication of crude and condensate production data in an attempt to disguise if it has actually cut crude output.

Baker Hughes reported last Friday that active U.S. oil rigs in the week ended April 28 were unchanged at 591 rigs, moderately below the 2-1/2 year high of 627 rigs posted on December 2.  U.S. active oil rigs have more than tripled from the 17-year low of 172 rigs seen in Aug 2020, signaling an increase in U.S. crude oil production capacity.

Have a Great Day,

Loren R Bailey, President

Office: 479-846-2761

Cell: 479-790-5581

SCHEDULED OUT OF OFFICE

MAY 04 & 05, 2023

JUNE 15 TO JUNE 18, 2023

JULY  22 TO JULY 30, 2023

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      $ 71.66 DN $4.0000

NYMEX ULSD     $2.2892 DN $0.0931

NYMEX Gas       $2.4357 DN $0.1147

NEWS

Crude oil and gasoline prices today are sharply lower, with crude falling to a 5-week low and gasoline dropping to a 6-week low.  Crude prices are under pressure on concern a slowdown in the global economy would curb energy demand.  Today’s weaker-than-expected U.S. JOLTS job openings and factory orders reports signaled weakness in the U.S. economy, while Monday’s weaker-than-expected Chinese Apr manufacturing and non-manufacturing reports indicated weakness in China’s economy.  The U.S. and China are the two largest crude oil consumers in the world.  

Today’s U.S. economic news was weaker than expected and was bearish for energy demand and crude prices.  Mar JOLTS job openings fell -341,000 to a 23-month low of 9.59 million, showing a weaker labor market than expectations of 9.736 million.  Also, Mar factory orders rose +0.9% m/m, weaker than expectations of +1.2% m/m.

Another bearish factor for crude prices is concern that tighter monetary policy from the world’s central banks will slow economic growth and energy demand.  The Reserve Bank of Australia today unexpectedly raised its benchmark interest rate by +25 bp to 3.85%.  Meanwhile, the FOMC on Wednesday is expected to raise interest rates by +25 bp, and the ECB is expected to raise rates by +25 bp at Thursday’s policy meeting.

Crude oil prices are being undercut by signs that Russia has not delivered on its threat to cut crude output.  Tanker-tracking data from Bloomberg shows Russia’s crude exports jumped above 4 million bpd in the week of April 28.  Russia has halted the publication of crude and condensate production data in an attempt to disguise if it has actually cut crude output.

Have a Great Day,

Loren R Bailey, President

Office: 479-846-2761

Cell: 479-790-5581

SCHEDULED OUT OF OFFICE

MAY 04 , 2023

JUNE 15 TO JUNE 18, 2023

JULY  22 TO JULY 30, 2023

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      $ 75.66 DN $1.1200

NYMEX ULSD     $2.3823 UP $0.0052

NYMEX Gas       $2.5504 UP $0.0203

NEWS

June WTI crude oil on Monday closed down -1.12 (-1.46%), and June RBOB gasoline closed up +2.03 (+0.80%).

Crude oil prices Monday settled lower.  A rally in the dollar index Monday to a 1-1/2 week high undercut energy prices.  Also, Chinese economic concerns weighed on crude prices after Monday’s news that China’s Apr manufacturing and non-manufacturing activity slowed more than expected.  However, energy prices recovered from their worst levels, and gasoline climbed into positive territory, on U.S. economic optimism after Monday’s U.S. construction spending and ISM manufacturing reports rose more than expected.

Monday’s Chinese economic news was weaker than expected and bearish for energy demand and crude prices.  The China Apr manufacturing PMI fell -2.7 to a 4-month low of 49.2, weaker than expectations of 51.4.  Also, the Apr non-manufacturing PMI fell -1.8 to 56.4, weaker than expectations of 57.0.

U.S. economic news Monday was better than expected and supportive of energy demand and crude prices.  The Apr ISM manufacturing index rose +0.8 to 46.1, stronger than expectations of 46.8.  Also, Mar construction spending rose +0.3% m/m, stronger than expectations of +0.1% m/m and the largest increase in 4 months.

Another bearish factor for crude prices is concern that tighter monetary policy from the world’s central banks will slow economic growth and energy demand.  The Fed is expected to raise interest rates by 25 bp at Wednesday’s FOMC meeting, and the ECB is expected to raise rates by 25 bp at Thursday’s policy meeting.

In a bullish factor, Vortexa reported Monday that the amount of crude stored on tankers that have been stationary for at least a week fell -7.2% w/w to 88.87 million bbl in the week ended April 28.

Strength in energy demand in India, the world’s third largest crude consumer, is bullish for prices after India’s Ministry of Petroleum and Natural Gas reported India’s Mar crude processing rose +3.1% y/y to 23 MMT.  Also, India’s Mar crude imports rose +7.9% y/y to 20.5 MMT.

Signs of stronger Chinese fuel demand are positive for crude prices.  China’s CCTV reported that about 9 million passenger trips would be made during the week-long Golden Week holidays in China that started April 29, up +30% from 6.9 million trips in 2019 before the pandemic.

The ongoing halt of Iraqi crude exports from the Turkish port of Ceyhan is tightening global oil supplies and is bullish for crude prices.  The Turkish government said it wants to negotiate a $1.5 billion settlement that it has been ordered to pay before allowing Iraqi crude exports to resume through its pipeline.  Oil exports of 400,000 bpd from the Turkish port of Ceyhan have been halted since March 25 after Iraq won an arbitration case from the International Chamber of Commerce that said Turkey violated a 1973 pipeline transit agreement by allowing crude from the Kurdish region to be exported without Iraqi government consent.

Crude prices surged on April 3 after OPEC+ announced a surprise oil production cut of more than 1 million bpd starting May 1.  Saudi Arabia said the cuts were a “precautionary measure aimed at supporting the stability of the oil market.”  OPEC Mar crude production fell by -80,000 bpd to 29.16 million bpd.

Last Wednesday’s EIA report showed that (1) U.S. crude oil inventories as of April 21 were -0.5% below the seasonal 5-year average, (2) gasoline inventories were -7.2% below the seasonal 5-year average, and (3) distillate inventories were -12.4% below the 5-year seasonal average.  U.S. crude oil production in the week ended April 21 fell -0.8% w/w to 12.2 million bpd, only 0.9 million bpd (-6.9%) 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 April 28 were unchanged at 591 rigs, moderately below the 2-1/2 year high of 627 rigs posted on December 2.  U.S. active oil rigs have more than tripled from the 17-year low of 172 rigs seen in Aug 2020, signaling an increase in U.S. crude oil production capacity.

Have a Great Day,

Loren R Bailey, President

Office: 479-846-2761

Cell: 479-790-5581

SCHEDULED OUT OF OFFICE

MAY 04 & 05, 2023

JUNE 15 TO JUNE 18, 2023

JULY  22 TO JULY 30, 2023

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 Adam

Fueling Strategy: Please fuel as needed tonight, prices are down 8 cents and will go down another 2 cents Saturday but Sunday look for prices to go back UP 2.5 cents~Be Safe

NMEX Crude      $ 76.78 UP $2.0200

NYMEX ULSD    $2.3787 UP $0.0245

NYMEX Gas        $2.5702 UP $0.0374

NEWS

June WTI crude oil on Friday closed up +2.02 (+2.70%), and June RBOB gasoline closed up +3.74.

Crude oil and gasoline prices Friday posted moderate gains on tight global supplies and strength in energy demand.  U.S. gasoline demand in the week ended April 21 rose +11.6% w/w to 9.511 million bpd, the highest in 16 months.  Also, India’s Mar crude imports rose +7.9% y/y to 20.5 MMT.  Friday’s rally in the S&P 500 to a 1-1/2 week high shows confidence in the economic outlook that is bullish for energy demand and crude prices.

Friday’s global economic news was mixed for crude prices.  On the positive side, U.S. Mar personal spending was unchanged m/m, stronger than expectations of -0.1% m/m.  Also, the U.S. MNI Apr Chicago PMI unexpectedly rose +4.8 to an 8-month high of 48.6, stronger than expectations of a decline to 43.6.  In addition, Japan Mar retail sales rose +0.6% m/m, stronger than expectations of +0.3% m/m.  On the negative side, Eurozone Q1 GDP rose +0.1% q/q and +1.3% y/y, slightly weaker than expectations of +0.2% m/m and +1.4% y/y.  Also,

Strength in energy demand in India, the world’s third largest crude consumer, is bullish for prices after India’s Ministry of Petroleum and Natural Gas reported India’s Mar crude processing rose +3.1% y/y to 23 MMT.  Also, India’s Mar crude imports rose +7.9% y/y to 20.5 MMT.

Signs of stronger Chinese fuel demand are positive for crude prices.  China’s CCTV reported that about 9 million passenger trips would be made during the week-long Golden Week holidays in China that starts April 29, up +30% from 6.9 million trips in 2019 before the pandemic.

In a bullish factor, Vortexa reported Monday that the amount of crude stored on tankers that have been stationary for at least a week fell -4% w/w to 98.69 million bbl in the week ended April 21.

The ongoing halt of Iraqi crude exports from the Turkish port of Ceyhan is tightening global oil supplies and is bullish for crude prices.  The Turkish government said it wants to negotiate a $1.5 billion settlement that it has been ordered to pay before allowing Iraqi crude exports to resume through its pipeline.  Oil exports of 400,000 bpd from the Turkish port of Ceyhan have been halted since March 25 after Iraq won an arbitration case from the International Chamber of Commerce that said Turkey violated a 1973 pipeline transit agreement by allowing crude from the Kurdish region to be exported without Iraqi government consent.

Crude prices surged on April 3 after OPEC+ announced a surprise oil production cut of more than 1 million bpd starting May 1.  Saudi Arabia said the cuts were a “precautionary measure aimed at supporting the stability of the oil market.”  OPEC Mar crude production fell by -80,000 bpd to 29.16 million bpd.

Wednesday’s EIA report showed that (1) U.S. crude oil inventories as of April 21 were -0.5% below the seasonal 5-year average, (2) gasoline inventories were -7.2% below the seasonal 5-year average, and (3) distillate inventories were -12.4% below the 5-year seasonal average.  U.S. crude oil production in the week ended April 21 fell -0.8% w/w to 12.2 million bpd, only 0.9 million bpd (-6.9%) 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 April 28 were unchanged at 591 rigs, moderately below the 2-1/2 year high of 627 rigs posted on December 2.  U.S. active oil rigs have more than tripled from the 17-year low of 172 rigs seen in Aug 2020, signaling an increase in U.S. crude oil production capacity.

Have a Great Day,

Loren R Bailey, President

Office: 479-846-2761

Cell: 479-790-5581

SCHEDULED OUT OF OFFICE

MAY 04 & 05, 2023

JUNE 15 TO JUNE 18, 2023

JULY  22 TO JULY 30, 2023

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 or better yet do not fuel until after midnight CST, Friday you’ll see another 8 cents drop then Saturday almost a 2 cent drop~Be Safe

NMEX Crude     $ 74.76 UP $.4600

NYMEX ULSD    $2.3542 DN $.0188

NYMEX Gas      $2.5328 DN $.0166

NEWS

Oil producer group OPEC on Thursday lashed out at the International Energy Agency, saying the world’s leading energy authority should be “very careful” about undermining industry investments. OPEC Secretary General Haitham al-Ghais said finger-pointing and misrepresenting the actions of OPEC and OPEC+ was “counterproductive.” He added that the influential group of 23 oil-exporting exporting nations was not targeting oil prices, but instead focusing on market fundamentals. OPEC said that its comments came in response to fresh criticism from the IEA, without providing further details.

In a Bloomberg TV interview on Wednesday, IEA Executive Director Fatih Birol used similar language in warning OPEC about boosting oil prices. Birol said that the energy alliance, led by Saudi Arabia, should be “very careful” with its production policy, warning that the group’s short-term and medium-term interests appeared to be contradictory. He added that higher crude prices and upward inflationary pressures would result in a weaker global economy, with low-income nations likely to be disproportionately affected. “The IEA knows very well that there are a confluence of factors that impact markets. The knock-on effects of COVID-19, monetary policies, stock movements, algorithm trading, commodity trading advisors and SPR releases (coordinated or uncoordinated), geopolitics, to name a few,” Al-Ghais said.

Blaming oil for higher inflation was “erroneous and technically incorrect as there are many other factors causing inflation,” he added. Earlier this month, the Paris-based energy agency said surprise oil output cuts from OPEC+ risked exacerbating a projected supply deficit and could scupper an economic recovery. Several OPEC+ members announced on April 2 that they were set to tighten global production by an additional 1.16 million barrels per day until the end of the year. The decision, which the White House criticized, was said to have been made as part of an independent initiative un-linked to broader OPEC+ policy. The cuts add to Russia’s existing plans to trim 500,000 barrels per day of its production from March until at least the end of the year. It means the combined voluntary cuts of OPEC+ members will be in excess of 1.6 million barrels per day.

“Other energy markets have been far more volatile,” al-Ghais said, “with oil markets less so, mainly due to the stabilizing role of OPEC and the OPEC+ group.” “If anything will lead to future volatility” he added, “it is the IEA’s repeated calls to stop investing in oil, knowing that all data-driven outlooks envisage the need for more of this precious commodity to fuel global economic growth and prosperity in the decades to come, especially in the developing world.”

The relationship between OPEC and the IEA has been increasingly fraught in recent years, with Birol repeatedly criticizing the pace at which the producers’ alliance increased its output rates, as it unwound the drastic production cuts it implemented in the wake of the Covid-19 pandemic. The IEA’s condemnations aligned with views held by some consumer nations — most vocally the U.S. — that stressed the strain of high energy prices on consumer households. The IEA had served as one of the so-called secondary sources whose production data the OPEC+ group used to benchmark the internal compliance rate of its members with their respective output obligations. OPEC removed the IEA as a secondary source in March last year, with OPEC+ delegates at the time citing concerns over the accuracy of IEA production estimates.

In a February interview with Energy Aspects, Saudi Arabia oil minister and OPEC+ chair, Prince Abdulaziz bin Salman, faulted the IEA’s initial predictions of a 3 million barrels per day loss of Russian crude and oil products for a U.S. decision to release volumes from its Strategic Petroleum Reserve. “Fairly and squarely, the IEA was responsible for it. Because of the, you know, screaming and scaring that they have done, on how much Russia will lose in terms of its production,” he said. OPEC and the IEA have also diverged in their approach to global decarbonization. The IEA has repeatedly said the pathway to net-zero emissions requires massive declines in the use of oil, gas and coal and warned in a landmark report in 2021 that there is no place for new fossil fuel projects if the world is to stave off the worst of what the climate crisis has in store. The burning of fossil fuels is the chief driver of the climate emergency.

By contrast, OPEC+ ministers and officials have repeatedly championed a strategy of dual investment in hydrocarbon and renewable projects, to avoid energy shortages while green resources are insufficient to fully meet consumer demand worldwide.

Have a Great Day,

Loren R Bailey, President

Office: 479-846-2761

Cell: 479-790-5581

SCHEDULED OUT OF OFFICE

MAY 04 & 05, 2023

JUNE 15 TO JUNE 18, 2023

JULY  22 TO JULY 30, 2023

Tell Us How We’re Doing On Google Business

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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: Due to prices UP 4.5 cents, Please “partial fill only” today/tonight, Thursday prices will drop 8 cents~Be Safe

NMEX Crude     $ 74.30 DN $2.7700

NYMEX ULSD    $2.3730 DN $0.0781

NYMEX Gas      $2.5494 DN $0.0392

NEWS

The key industrial fuel, which is used to power machines as well as trucks, began to dip during a warmer-than-expected winter, and the slowdown has been exacerbated by diminishing factory output and weaker demand for on-hire trucks, according to the Wall Street Journal.

Wholesale diesel prices in New York Harbor tumbled to $2.65 a gallon from $5.34 The Conference Board’s Leading Economic Index declined further in March, suggesting that a recession will hit in the middle of this year. At the same time, the most recent reading on the New York Fed’s Recession Probabilities Model puts the odds of a downturn at 57.7%, the highest mark since 1982.

Last May, per the Journal. Benchmark diesel futures, meanwhile, have plunged nearly 25% in 2023 to $2.53 a gallon, and domestic demand is down 8.4% since the same time last year. Meanwhile, recent indicators show a steep declines in freight. The American Trucking Association’s for-hire contract truck tonnage index dropped to 95.8 in March from 101.3 the month prior, hitting the lowest level since August 2021.

And in an earnings call last week, JB Hunt executives sounded the alarm on a “freight recession” as the shipping company missed earnings views and reported across-the-board drops in volumes that sent revenue per truckload down by 17%. Executives had previously forecasted a rebound in industrial activity by the second half of 2023, but in the call, they said a recovery looks less certain due to the broader economic slowdown. “It’s just a question of when and what position will we be in when our customers start ringing our phone again in ways that they have in the past,” JB Hunt CEO John Roberts said.

Have a Great Day,

Loren R Bailey, President

Office: 479-846-2761

Cell: 479-790-5581

SCHEDULED OUT OF OFFICE

MAY 04 & 05, 2023

JUNE 15 TO JUNE 18, 2023

JULY  22 TO JULY 30, 2023

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