July 08th Fueling Strategy: Prices are down slightly today, Please “KEEP YOUR TANKS TOPPED TODAY/TONIGHT” ahead of Friday’s price JUMP UP 6 Cents ~ Be Safe Today

NYEX Crude      $  75.23 UP $2.0300

NYMEX ULSD     $2.3556 UP $0.0598

NYMEX Gas       $2.3573 UP $0.0314

NEWS

Sep WTI crude oil on Wednesday closed up +2.03, and Sep RBOB gasoline closed up +3.11 (+1.34%).

Crude oil and gasoline prices posted moderate gains Wednesday.  Crude oil prices rose Wednesday on concern that an expected retaliatory attack by Iran against Israel could spark an escalation of Middle Eastern hostilities.  Crude prices added to their gains Wednesday after weekly EIA crude inventories fell more than expected to a 6-month low.  Dollar strength on Wednesday limited gains in energy prices.

Crude prices are supported by fears of a retaliatory attack by Iran against Israel, which could escalate the conflict in the Middle East and disrupt the region’s crude oil supplies.  Iran has threatened to retaliate against Israel for last week’s assassination of a Hamas leader in Tehran.  Israel’s military continues to conduct operations in Gaza, and there is the risk that the war might spread to Hezbollah in Lebanon or even to a direct conflict with Iran.  Meanwhile, ongoing 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.

Global economic news Wednesday was weaker than expected and bearish for energy demand and crude prices.   China’s July exports rose +7.0% y/y, weaker than expectations of +9.5% y/y and a bearish factor for global growth.  Also, German June exports fell -3.4% m/m, weaker than expectations of -1.5% m/m and the biggest decline in 6 months.  In addition, Japan’s June leading index CI fell -2.6 to a 14-month low of 108.6, weaker than expectations of 108.8.

A plunge in crude oil held worldwide on tankers is bullish for prices.  Vortexa reported Monday that crude oil stored on tankers that have been stationary for at least seven days fell by -31% w/w to 56.66 million bbl in the week ended August 2, the lowest in more than four years.

OPEC+ rolled out a plan to restore some crude production in Q4, which sparked worries about a glut in global oil supplies.  On June 2, OPEC+ extended the 2 million bpd of voluntary crude production cuts into Q3 but said they would gradually phase out the cuts over the following 12 months, beginning in October.  OPEC pledged to extend its crude production cap at about 39 million bpd to the end of 2025.  Also, the UAE was given a 300,000 bpd boost to its production target for 2025.  In June, OPEC crude production fell -80,000 bpd to 26.98 million bpd.

Wednesday’s weekly EIA report was mixed for crude and products.  On the bullish side, EIA crude inventories fell -3.73 million bbl to a 6-month low, a larger draw than expectations of a decline of -1.8 million bbl.  Conversely, EIA gasoline supplies unexpectedly rose +1.34 million bbl versus expectations of a -1.8 million bbl draw.  Also, US crude production in the week ended August 2 rose +0.8% w/w to a record 13.4 million bpd.  In addition, crude stockpiles at Cushing, the delivery point for WTI crude, rose +579,000 bbl.

Wednesday’s EIA report showed that (1) US crude oil inventories as of August 2 were -5.6% below the seasonal 5-year average, (2) gasoline inventories were -2.0% below the seasonal 5-year average, and (3) distillate inventories were -6.5% below the 5-year seasonal average.  US crude oil production in the week ending August 2 rose +0.8% w/w to a new record high of 13.4 million bpd.

Baker Hughes reported last Friday that active US oil rigs in the week ending August 2 were unchanged at 482 rigs, modestly above the 2-1/2 year low of 477 rigs posted in the week ending July 19.  The number of US oil rigs has fallen over the past year from the 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  

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, If possible, don’t fuel today or “PARTIAL FILL ONLY TODAY/TONIGHT”  Prices are down but will go down another 2 cents Wednesday~ Be Safe

NYEX Crude      $  72.94 DN $.5800

NYMEX ULSD     $2.2986 DN $.0199

NYMEX Gas       $2.3336 UP $.0160

NEWS

Sep WTI crude oil on Monday closed down -0.58 (-0.79%), and Sep RBOB gasoline closed up +1.60 (+0.69%).Crude oil and gasoline prices Monday were under pressure, as crude posted a 6-month nearest-futures low and gasoline posted a 5-month low.  Monday’s slump in global equity markets sparked long liquidation of risk assets and undercut energy prices.  Also, Monday’s selloff in the S&P 500 to a 3-month low undercuts confidence in the economic outlook and energy demand and is bearish for crude prices.

However, crude prices recovered from their worst levels on Monday, and gasoline pushed into positive territory after the dollar index dropped to a 6-3/4 month low.  Also, concern about the escalation of conflict in the Middle East that could disrupt the region’s crude supplies is supportive for crude prices after Iran threatened to retaliate against Israel for last week’s assassination of a Hamas leader in Tehran.

Crude prices also found support Monday on reduced crude output from Libya after the Sharara oil field, Libya’s biggest, halted crude production due to anti-government protests and security concerns. The Sharara oil field was producing 270,000 bpd before it was shut down. Monday’s global economic news was mixed for energy demand and crude prices.  

On the negative side, the Eurozone Aug Sentix investor confidence index fell -6.6 to a 7-month low of -13.9, weaker than expectations of -8.0.  Also, the Japan Jul Jibun Bank services PMI was revised downward by -0.2 to 53.7 from the previously reported 53.9.  On the bullish side, the US Jul ISM services index rose +2.6 to 51.4, stronger than expectations of 51.0.  Also, the Eurozone Jul S&P composite PMI was revised upward by +0.1 to 50.2 from the previously reported 50.1.

Crude oil prices have underlying support from the Hamas-Israel conflict.  Israel’s military continues to conduct operations in Gaza, and there is the continued risk that the war might spread to Hezbollah in Lebanon or even to a direct conflict with Iran.  Meanwhile, ongoing 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 plunge in crude oil held worldwide on tankers is bullish for prices.  Vortexa reported Monday that crude oil stored on tankers that have been stationary for at least seven days fell by -31% w/w to 56.66 million bbl in the week ended August 2, the lowest in more than four years.

OPEC+ rolled out a plan to restore some crude production in Q4, which sparked worries about a glut in global oil supplies.  On June 2, OPEC+ extended the 2 million bpd of voluntary crude production cuts into Q3 but said they would gradually phase out the cuts over the following 12 months, beginning in October.  OPEC pledged to extend its crude production cap at about 39 million bpd to the end of 2025.  Also, the UAE was given a 300,000 bpd boost to its production target for 2025.  In June, OPEC crude production fell -80,000 bpd to 26.98 million bpd.

Last Wednesday’s EIA report showed that (1) US crude oil inventories as of July 26 were -4.4% below the seasonal 5-year average, (2) gasoline inventories were -3.3% below the seasonal 5-year average, and (3) distillate inventories were -6.6% below the 5-year seasonal average.  US crude oil production in the week ending July 26 was unchanged w/w and matched a record high of 13.3 million bpd.

Baker Hughes reported last Friday that active US oil rigs in the week ending August 2 were unchanged at 482 rigs, modestly above the 2-1/2 year low of 477 rigs posted in the week ending July 19.  The number of US oil rigs has fallen over the past year from the 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  

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

Aug 03 Fueling Strategy: Prices are down 4 cents today, and will continue to correct DOWN another 8 cents Sunday,  Please “PARTIAL FILL OR WAIT UNTIL SUNDAY TOPPED YOUR TANKS”  ~ Be Safe Today

NYEX Crude      $  73.52 DN $2.7900

NYMEX ULSD     $2.3185 DN $0.0879

NYMEX Gas       $2.3760 DN $0.0804

NEWS

HOUSTON Aug 2 (Reuters) – Oil prices fell on Friday, settling at their lowest since January after data showed the U.S. economy added fewer jobs than expected last month, and weak Chinese economic data added more pressure. Brent crude futures settled down $2.71, or 3.41%, to $76.81 a barrel. U.S. West Texas Intermediate crude futures settled down $2.79, or 3.66%, at $73.52. At their session lows, both benchmarks fell by more than $3 per barrel.

U.S. job growth slowed more than expected in July and unemployment increased to 4.3%, pointing to raising fears of a possible recession. “We moved from a demand-driven market to a geopolitical one for maybe two days then we absolutely nosedived on all this economic data,” said Tim Snyder, chief economist at Matador Economics.

Economic data from top oil importer China and surveys showing weaker manufacturing activity across Asia, Europe and the U.S. raised the risk of a sluggish global economic recovery that would weigh on oil consumption. Falling manufacturing activity in China also inhibited prices, adding to concerns about demand growth after June data showed imports and refinery activity lower than a year earlier. Asia’s crude imports in July fell to their lowest in two years, sapped by weak demand in China and India, data from LSEG Oil Research showed.

Meanwhile, OPEC oil output rose in July, a Reuters survey found, as a rebound in Saudi Arabian supply and small increases elsewhere offset the impact of ongoing voluntary supply cuts by other members and the wider OPEC+ alliance. The Organization of the Petroleum Exporting Countries pumped 26.70 million barrels per day (bpd) last month, up 100,000 bpd from June, according to the survey based on shipping data and information from industry sources. An OPEC+ meeting on Thursday had left the group’s oil output policy unchanged, including a plan to start unwinding one layer of production cuts from October.

Oil investors are also watching the Middle East, where Lebanon’s Iran-backed group Hezbollah said its conflict with Israel had entered a new phase. Still, analysts noted no material disruption of oil supplies from the region as prices slumped to multi-week lows days after the killing of senior leaders of Iran-aligned militant groups Hamas and Hezbollah stoked fears of all-out war.

“Oil has been pumped up on just extraordinary jitters over the Middle East situation but here we are several days after a significant event,” said John Kilduff, partner at Again Capital in New York.

Have a Great Day!

Loren R Bailey, President

Office: 479-846-2761

Cell: 479-790-5581

SCHEDULED OUT OF OFFICE  

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

Aug 02 Fueling Strategy: Please, If possible, “PARTIAL FILL ONLY TODAY/TONIGHT” Saturday prices will DROP 3 Cents ~ Be Safe

NYEX Crude      $  76.31 DN $1.6000

NYMEX ULSD     $2.4064 DN $0.0319

NYMEX Gas       $2.3980 DN $0.0445

NEWS 

Sep WTI crude oil on Thursday closed down -1.60 (-2.05%), and Sep RBOB gasoline closed down -4.45 (-1.82%). 

Crude oil and gasoline prices on Thursday fell back from 1-1/2 week highs and posted moderate losses on global energy demand concerns after the US Jul manufacturing index contracted by the most in 8 months and the China Jul Caixin manufacturing index contracted by the most in 9 months.  A stronger dollar on Thursday was also bearish for energy prices.  Losses in crude accelerated Thursday as the stock market retreated.

Crude prices Thursday initially moved higher on the escalation of geopolitical tensions in the Middle East that could lead to a disruption of the region’s crude supplies after Iran’s Supreme leader Ayatollah Ali Khamenei said that Iran plans to retaliate against Israel for killing a Hamas leader in Tehran.  Crude also has carryover support from Wednesday when weekly EIA crude inventories fell more than expected to a 5-3/4 month low.

Thursday’s global economic news was bearish for energy demand and crude prices.  US weekly initial unemployment claims rose +14,000 to a nearly 1-year high of 249,000, showing a weaker labor market than expectations of 236,000.  Also, the US Jul ISM manufacturing index unexpectedly fell -1.7 to 46.88, weaker than expectations of an increase to 48.8 and the steepest pace of contraction in 8 months.  

In addition, the China Jul Caixin manufacturing PMI fell -2.0 to 49.8, the steepest pace of contraction in 9 months.

Have a Great Day!

Loren R Bailey, President

Office: 479-846-2761

Cell: 479-790-5581

SCHEDULED OUT OF OFFICE  

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: Prices are down 4 cents today, Please “KEEP YOUR TANKS TOPPED TODAY/TONIGHT” ahead of Friday price JUMP UP 8 Cents ~ Be Safe Today

NYEX Crude      $  77.91 UP $3.1800

NYMEX ULSD     $2.4155 UP $0.0787

NYMEX Gas       $2.4820 UP $0.0949

NEWS

Sep WTI crude oil on Wednesday closed up +3.18 (+4.26%), and Sep RBOB gasoline closed up +9.82 (+4.19%).Crude oil prices Wednesday rallied sharply.  

Wednesday’s fall in the dollar index to a 1-1/2 week low was bullish for energy prices.  Crude is also climbing on increased geopolitical tensions in the Middle East that could lead to a disruption of the region’s crude supplies after Israel launched an airstrike in Iran that killed a Hamas leader and an airstrike in Beirut that killed a Hezbollah leader.   Iranian Supreme leader Ayatollah Ali Khamenei said he had a “duty to seek vengeance” and that Israel should prepare for “severe punishment.”  

Crude prices extended their gains after weekly EIA crude inventories fell more than expected to a 5-3/4 month low.  Wednesday’s global economic news mixed for energy demand and crude prices.  On the positive side, US Jun pending home sales rose +4.8% m/m, stronger than expectations of +1.5% m/m and the biggest increase in 6 months.  

Also, Japan Jun retail sales rose +0.6% m/m and +3.7% y/y, stronger than expectations of +0.2% m/m and +3.2% y/y.  On the negative side, the US Jul ADP employment change rose +122,000, weaker than expectations of +150,000 and the smallest increase in 6 months.  Also, the BOJ cut its 2024 Japan GDP forecast to 0.6% from 0.8% Crude oil prices have underlying support from the Hamas-Israel conflict.  Israel’s military continues to conduct operations in Gaza, and there is the continued risk that the war might spread to Hezbollah in Lebanon or even to a direct conflict with Iran.  

Meanwhile, ongoing 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.

Have a Great Day!

Loren R Bailey, President

Office: 479-846-2761

Cell: 479-790-5581

SCHEDULED OUT OF OFFICE  

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

July 31st Fueling Strategy: Please, If possible, don’t fuel today or “PARTIAL FILL ONLY TODAY/TONIGHT”  Prices are down 4.5 cents but will go down another 4 cents Thursday~ Be Safe

NYEX Crude      $  74.73 DN $1.0800

NYMEX ULSD     $2.3368 DN $0.0382

NYMEX Gas       $2.3871 DN $0.0282

NEWSep WTI crude oil (CLU24) on Tuesday closed down -1.08 (-1.42%), and Sep RBOB gasoline (RBU24) closed down -2.50 (-1.05%). Crude oil prices Tuesday extended Monday’s slide, with crude posting a new 7-week low.  Tuesday’s rally in the dollar index (DXY00) to a 2-1/2 week high was bearish for energy prices.  Also, energy demand concerns in China, the world’s second-largest crude consumer, are weighing on crude prices after Citigroup cut its 2024 China GDP estimate to 4.8% from 5.0%.  Tuesday’s global economic news was stronger than expected and positive for energy demand and crude prices.  US Jun JOLTS job openings fell -46,000 to 8.184 million, showing a stronger labor market than expectations of 8.000 million.  

Also, the Conference Board US Jul consumer confidence index rose +2.5 to 100.3, stronger than expectations of 99.7.  In addition, Eurozone Q2 GDP grew +0.3% q/q and +0.6% y/y, stronger than expectations of +0.2% q/q and +0.5% y/y.  Finally, the Japan Jun jobless rate unexpectedly fell -0.1 to 2.5%, showing a stronger labor market than expectations of no change at 2.6%.Crude oil prices have underlying support from the Hamas-Israel conflict.  Israel’s military continues to conduct operations in Gaza, and there is the continued risk that the war might spread to Hezbollah in Lebanon or even to a direct conflict with Iran.  

Meanwhile, ongoing 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 crude oil held worldwide on tankers is bearish for prices.  

Vortexa reported Monday that crude oil stored on tankers that have been stationary for at least 7 days rose by +1.1% to 78.45 million bbl in the week ended July 26.

Have a Great Day!

Loren R Bailey, President

Office: 479-846-2761

Cell: 479-790-5581

SCHEDULED OUT OF OFFICE  

July 26 Out After 15:00 CST

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

July 30th Fueling Strategy: Please, If possible, don’t fuel today or “PARTIAL FILL ONLY TODAY/TONIGHT”  Wednesday prices will drop 4.5 cents ~ Be Safe

NYEX Crude      $  75.81 DN $1.3500

NYMEX ULSD     $2.3750 DN $0.0447

NYMEX Gas       $2.4153 DN $0.0452

NEWS

Sep WTI crude oil Monday closed down -1.35 (-1.75%), and Sep RBOB gasoline  closed down -4.47 (-1.85%).Crude oil prices Monday posted moderate losses, with crude tumbling to a 7-week low.  Monday’s rally in the dollar index (DXY00) to a 2-week high undercut energy prices.  Also, energy demand concerns in China, the world’s second-largest crude consumer, are weighing on crude prices after China recently reported Q2 GDP that was the slowest economic growth in five quarters.  

Crude oil prices have underlying support from the Hamas-Israel conflict.  Israel’s military continues to conduct operations in Gaza, and there is the continued risk that the war might spread to Hezbollah in Lebanon or even to a direct conflict with Iran.  Meanwhile, ongoing 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 crude oil held around the world on tankers is bearish for prices.  Vortexa reported Monday that crude oil stored on tankers that have been stationary for at least 7 days rose by +1.1% to 78.45 million bbl in the week ended July 26.

OPEC+ rolled out a plan to restore some crude production in Q4, which sparked worries about a glut in global oil supplies.  On June 2, OPEC+ extended the 2 million bpd of voluntary crude production cuts into Q3 but said they would gradually phase out the cuts over the following 12 months, beginning in October.  OPEC pledged to extend its crude production cap at about 39 million bpd to the end of 2025.  Also, the UAE was given a 300,000 bpd boost to its production target for 2025.  In June, OPEC crude production fell -80,000 bpd to 26.98 million bpd.

Have a Great Day!

Loren R Bailey, President

Office: 479-846-2761

Cell: 479-790-5581

SCHEDULED OUT OF OFFICE  

July 26 Out After 15:00 CST

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

July 27th Fueling Strategy: Please, If possible, “PARTIAL FILL ONLY TODAY/TONIGHT” Sunday prices will DROP 5 Cents ~ Be Safe

NYEX Crude      $  77.16 DN $1.1200

NYMEX ULSD     $2.4197 DN $0.0515

NYMEX Gas       $2.4605 DN $0.00071

NEWS

Sep WTI crude oil Friday closed down -1.12 (-1.43%), and Sep RBOB gasoline closed down -1.25 (-0.51%). Crude oil prices on Friday closed lower due to the week’s theme of weaker global economic growth and US political uncertainty.  The markets are also worried on a longer-term basis about OPEC’s plan to trim its production cuts in the coming quarters.  Crude oil prices gave back the gains seen on Wednesday and Thursday that were driven by a bullish EIA report and Russia’s promise of extra production cuts.

Oil prices saw support from Russia’s statement on Wednesday that it plans to make additional crude production cuts in October and November 2024, and March-Sep 2025, to offset its above-quota production seen since April.  Russia said its recent over-production has ceased and that production in July will match its OPEC+ quota. Gasoline prices have underlying support as Exxon’s Chicago-area refinery is still closed after a tornado last week cut electricity and forced a shutdown of the refinery on July 15.  The refinery has capacity of 252,000 barrels/day.  The plant regained power on July 23, and repairs are now being made.  The company has not yet given a date for a reopening. Crude has support from wildfires in Canada that threaten to curb Canadian crude production.  Rystad Energy said last Friday that 52 out-of-control wildfires in Alberta, Canada, threaten nearly 500,000 bpd of crude oil sands output and pipeline shipments to the US.

OPEC+ rolled out a plan to restore some crude production in Q4, which sparked worries about a glut in global oil supplies.  On June 2, OPEC+ extended the 2 million bpd of voluntary crude production cuts into Q3 but said they would gradually phase out the cuts over the following 12 months, beginning in October.  OPEC pledged to extend its crude production cap at about 39 million bpd to the end of 2025.  Also, the UAE was given a 300,000 bpd boost to its production target for 2025.  In June, OPEC crude production fell -80,000 bpd to 26.98 million bpd. Crude oil prices have underlying support from the Hamas-Israel conflict.  Israel’s military continues to conduct operations in Gaza, and there is the continued risk that the war might spread to Hezbollah in Lebanon or even to a direct conflict with Iran.  Meanwhile, ongoing 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.

In Wednesday’s EIA report, US crude oil inventories in the week ended July 19 fell by -3.74 million bbls, a larger drop than expectations of -3.5 million bbls.  Gasoline inventories fell by -5.572 million bbls, the largest drop since March.  The EIA report showed that (1) US crude oil inventories as of July 19 were -5.1% below the seasonal 5-year average, (2) gasoline inventories were -1.8% below the seasonal 5-year average, and (3) distillate inventories were -8.6% below the 5-year seasonal average.  US crude oil production in the week ending July 19 was unchanged w/w and matched a record high of 13.3 million bpd.

Baker Hughes reported Friday that active US oil rigs in the week ending July 26 rose by +5 rigs to 482 rigs, recovering modestly from the 2-1/2 year low of 477 rigs posted in the week ended July 19.  The number of US oil rigs has fallen over the past year from the 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  

July 26 Out After 15:00 CST

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 go UP 2 Cents ~ Be Safe Today

NYEX Crude      $  77.59 UP $.6300

NYMEX ULSD     $2.4524 UP $.0425

NYMEX Gas       $2.4515 UP $.0374

NEWS

Sep WTI crude oil on Thursday closed up +0.69 (+0.89%), and Sep RBOB gasoline closed up +1.66 (+0.69%).Crude oil prices on Thursday rallied on the stronger-than-expected US Q2 GDP report of +2.8% versus expectations of +2.0%, which was supportive of oil demand.  Oil prices also saw carry-over support from Wednesday’s news of a bullish EIA report and Russia’s promise of extra production cuts. Oil prices saw support from Russia’s statement on Wednesday that it plans to make additional crude production cuts in October and November 2024, and March-Sep 2025, to offset its above-quota production seen since April.  Russia said its recent over-production has ceased and that production in July will match its OPEC+ quota.

Gasoline prices have underlying support as Exxon’s Chicago-area refinery is still closed after a tornado last week cut electricity and forced a shutdown of the refinery on July 15.  The refinery has capacity of 252,000 barrels/day.  An Exxon spokesperson said on Wednesday that the plant regained power, and repairs have begun.  The company has not yet said when the refinery will reopen.Crude has support from wildfires in Canada that threaten to curb Canadian crude production. Rystad Energy said last Friday that 52 out-of-control wildfires in Alberta, Canada, threaten nearly 500,000 bpd of crude oil sands output and pipeline shipments to the US.

OPEC+ rolled out a plan to restore some crude production in Q4, which sparked worries about a glut in global oil supplies.  On June 2, OPEC+ extended the 2 million bpd of voluntary crude production cuts into Q3 but said they would gradually phase out the cuts over the following 12 months, beginning in October.  OPEC pledged to extend its crude production cap at about 39 million bpd to the end of 2025.  Also, the UAE was given a 300,000 bpd boost to its production target for 2025.  In June, OPEC crude production fell -80,000 bpd to 26.98 million bpd.Crude oil prices have underlying support from the Hamas-Israel conflict.  Israel’s military continues to conduct operations in Gaza, and there is the continued risk that the war might spread to Hezbollah in Lebanon or even to a direct conflict with Iran.  Meanwhile, ongoing 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.

In Wednesday’s EIA report, US crude oil inventories in the week ended July 19 fell by -3.74 million bbls, a larger drop than expectations of -3.5 million bbls.  Gasoline inventories fell by -5.572 million bbls, the largest drop since March.  The EIA report showed that (1) US crude oil inventories as of July 19 were -5.1% below the seasonal 5-year average, (2) gasoline inventories were -1.8% below the seasonal 5-year average, and (3) distillate inventories were -8.6% below the 5-year seasonal average.  US crude oil production in the week ending July 19 was unchanged w/w and matched a record high of 13.3 million bpd.

Baker Hughes reported last Friday that active US oil rigs in the week ending July 19 fell -1 rig to a 2-1/2 year low of 477 rigs.  The number of US oil rigs has fallen over the past year from the 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  

July 26 Out After 15:00 CST

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

July 25th Fueling Strategy: Please “KEEP YOUR TANKS TOPPED TODAY/TONIGHT, Friday prices will go UP 4 Cents ~ Be Safe Today

NYEX Crude      $  77.59 UP $.6300

NYMEX ULSD     $2.4524 UP $.0425

NYMEX Gas       $2.4515 UP $.0374

NEWS

Sep WTI crude oil on Wednesday closed up +0.63 (+0.82%), and Sep RBOB gasoline closed up +3.72 (+1.57%). Crude oil and gasoline prices rallied Wednesday on a bullish weekly EIA report and Russia’s promise of extra production cuts.  The energy markets were able to shake off Wednesday’s sharp sell-off in US stocks and the weak US manufacturing PMI and new home sales reports.

US crude oil inventories in the week ended July 19 fell by -3.74 million bbls, a larger drop than expectations of -3.5 million bbls.  Gasoline inventories fell by -5.572 million bbls, the largest drop since March. Oil prices saw support from Russia’s statement on Wednesday that it plans to make additional crude production cuts in October and November 2024, and March-Sep 2025, to offset its above-quota production seen since April.  Russia said its recent over-production has ceased and that production in July will match its OPEC+ quota.

Gasoline prices have underlying support as Exxon’s Chicago-area refinery is still closed after a tornado last week cut electricity and forced a shutdown of the refinery on July 15.  The refinery has capacity of 252,000 barrels/day.  An Exxon spokesperson said on Wednesday the plant now has sufficient power to asset damage and begin the work to restart operations.

Crude has support from wildfires in Canada that threaten to curb Canadian crude production.  Rystad Energy said last Friday that 52 out-of-control wildfires in Alberta, Canada, threaten nearly 500,000 bpd of crude oil sands output and pipeline shipments to the US. OPEC+ rolled out a plan to restore some crude production in Q4, which sparked worries about a glut in global oil supplies.  On June 2, OPEC+ extended the 2 million bpd of voluntary crude production cuts into Q3 but said they would gradually phase out the cuts over the following 12 months, beginning in October.  OPEC pledged to extend its crude production cap at about 39 million bpd to the end of 2025.  Also, the UAE was given a 300,000 bpd boost to its production target for 2025.  In June, OPEC crude production fell -80,000 bpd to 26.98 million bpd.

Crude oil prices have underlying support from the Hamas-Israel conflict.  Israel’s military continues to conduct operations in Gaza, and there is the continued risk that the war might spread to Hezbollah in Lebanon or even to a direct conflict with Iran.  Meanwhile, ongoing 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.

Wednesday’s EIA report showed that (1) US crude oil inventories as of July 19 were -5.1% below the seasonal 5-year average, (2) gasoline inventories were -1.8% below the seasonal 5-year average, and (3) distillate inventories were -8.6% below the 5-year seasonal average.  US crude oil production in the week ending July 19 was unchanged w/w and matched a record high of 13.3 million bpd.

Baker Hughes reported last Friday that active US oil rigs in the week ending July 19 fell -1 rig to a 2-1/2 year low of 477 rigs.  The number of US oil rigs has fallen over the past year from the 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  

July 26 Out After 15:00 CST

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