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

July 24th Fueling Strategy: Please, If possible, “PARTIAL FILL ONLY TODAY/TONIGHT” Thursday prices will DROP 2.5 Cents ~ Be Safe

NMEX Crude      $ 76.96 DN $1.4400

NYMEX ULSD     $2.4099 DN $0.0249

NYMEX Gas       $2.4141 DN $0.0565

NEWS

Supply-demand dynamics, inventory fluctuations, and geopolitical tensions characterize the crude oil market landscape. Analysts at Morgan Stanley project the market to reach equilibrium by the fourth quarter of this year, potentially transitioning to a surplus by 2025. As traders await crucial US oil inventory data, the market is also reacting to geopolitical events, such as the Israeli attack on a Yemeni shipping terminal in retaliation for a recent drone attack on Israel. Also, a Ukrainian drone attack on Russia’s largest Black Sea oil refinery may cause global supply disruption. Despite these tensions, the short-term outlook for oil prices remains bearish, influenced by ample inventories and weak demand.

Traders are focusing on the release of US oil inventory data. The American Petroleum Institute (API) will provide its estimates on Tuesday. The prior week’s report showed US crude oil inventories declining by 4.44 million barrels for the week ending July 12. Today’s API report is expected to show a smaller draw of -2.47 million barrels. On Wednesday, the US Energy Information Administration (EIA) will release its report, which is expected to show a build of 0.7 million barrels, a first in three weeks.

In recent market performance, crude oil prices fell to their lowest in over a month on July 23. Crude oil September futures traded at $76.40 per barrel after failing to trade through contract highs of $85.06 on June 2022. Traders have primarily ignored escalating Middle Eastern and Russia-Ukranian tensions, focusing instead on weak technical outlooks, soft demand, and possibly a win by Trump in the upcoming November presidential election. Trump has vowed to “Drill Baby, Drill” on the first day in office, leading to significant supply to the global oil markets.

The short-term forecast for oil prices remains bearish, with ample inventories and weak demand signaling continued downward pressure. However, geopolitical tensions and potential supply disruptions could provide some support. 

Have a Great Day!

Loren R Bailey, President

Office: 479-846-2761

Cell: 479-790-5581

SCHEDULED OUT OF OFFICE  

July 23 Out After 09:00 to 11:00 CST

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 23rd Fueling Strategy: Please “KEEP YOUR TANKS TOPPED TODAY/TONIGHT, Wednesday prices will go UP 1.5 Cents ~ Be Safe Today

NMEX Crude      $ 79.78 DN $.3500

NYMEX ULSD     $2.4348 UP $.0157

NYMEX Gas       $2.4706 UP $.0202

NEWS

Sep WTI crude oil on Monday closed down -0.35 (-0.31%), and Sep RBOB gasoline closed up +1.46 (+0.60%).

Crude oil prices on Monday extended last Friday’s sharp losses on concern about the global economy and US political uncertainty.  China’s -10 bp rate cut on Monday reinforced worries about China’s weak economy.  The markets were already worried about Asian economic growth after Japan’s Cabinet Office last Friday cut its Japan 2024 GDP projection to +0.9% from a previous estimate of +1.3%.   Meanwhile, US political uncertainty increased after President Biden on Sunday dropped out of the presidential race and endorsed Vice President Harris. 

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.

A decline in crude oil in floating storage is bullish for prices.  Last 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 -20% w/w to 74.53 million bbl as of July 12.

In a bearish factor, Russia’s crude exports in the week to July 14 rose by +200,000 bpd to 2.97 million bpd, according to vessel-tracking data compiled by Bloomberg.  Also, higher-than-expected Russian crude output is bearish for oil prices.  Russian crude production averaged 9.078 million bpd in June, above its agreed target of 9.049 million bpd.  

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 19 After Lunch

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 20th Fueling Strategy: If possible, Please “PARTIAL FILL ONLY TODAY/TONIGHT” Sunday prices will DROP 7 Cents ~ Be Safe

NYEX Crude      $  80.13 DN $2.6900

NYMEX ULSD     $2.4868 DN $0.0677

NYMEX Gas       $2.5164 DN $0.0660

NEWS

August WTI crude oil on Friday closed down -2.69 (-3.25%), and Aug RBOB gasoline closed down -6.60 (-2.62%). Crude oil and gasoline prices on Friday closed sharply lower, with crude sliding to a 1-month low.  A stronger dollar on Friday undercut energy prices.  Losses in crude accelerated Friday after the S&P 500 dropped to a 2-1/2 week low, which undercut confidence in the economic outlook and energy demand.  

Friday’s action by Japan’s Cabinet Office to cut its Japan 2024 GDP projection to 0.9% from a previous estimate of 1.3% was bearish for energy demand and crude oil prices. Crude has support from wildfires in Canada that threaten to curb Canadian crude production.  On Friday, Rystad Energy said 52 out-of-control wildfires in Alberta, Canada, threaten nearly 500,000 bpd of crude oil sands output and pipeline shipments to the US. A decline in crude oil 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 -20% w/w to 74.53 million bbl as of July 12.

In a bearish factor, Russia’s crude exports in the week to July 14 rose by +200,000 bpd to 2.97 million bpd, according to vessel-tracking data compiled by Bloomberg.  Also, higher-than-expected Russian crude output is bearish for oil prices.  Russian crude production averaged 9.078 million bpd in June, above its agreed target of 9.049 million bpd.

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 12 were -4.7% below the seasonal 5-year average, (2) gasoline inventories were +0.03% above the seasonal 5-year average, and (3) distillate inventories were -6.7% below the 5-year seasonal average.  US crude oil production in the week ending July 12 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 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 19 After Lunch

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 19th Fueling Strategy: Please “FUEL AS NEEDED TODAY/TONIGHT, Saturday prices will go up less than a penny ~ Be Safe Today!

NYEX Crude      $  82.82 DN $.0300

NYMEX ULSD     $2.4868 DN $.0072

NYMEX Gas       $2.5164 UP  $.0151

NEWS

August WTI crude oil on Thursday closed down -0.03 (-0.04%), and Aug RBOB gasoline closed up +1.51 (+0.60%). Crude oil and gasoline prices Thursday gave up an early advance and settled mixed.  A stronger dollar Thursday weighed on energy prices.  Crude prices also turned lower Thursday after stocks erased an early rally and retreated, which undercut confidence in the economic outlook and energy demand.

Crude prices Thursday initially moved higher as wildfires in Canada threatened to cut 400,000 bpd of oil production.  Crude also has carryover support from Wednesday when the  EIA reported crude inventories fell more than expected to a 5-month low. Comments Thursday from ECB President Lagarde were bearish for crude when she said, “The risks to economic growth are tilted to the downside, and a weaker world economy or an escalation in trade tensions between major economies would weigh on Eurozone growth.” Crude has support from wildfires in Canada that threaten to curb 400,000 bpd of Canadian crude production, putting crude oil pipeline shipments to the US at risk.  Hot weather in Alberta has sparked 50 out-of-control blazes and has reduced Canada’s crude production.

Thursday’s global economic news was mixed for energy demand and crude prices.   On the negative side, US weekly continuing claims rose +20,000 to a 2-1/2 year high of 1.867 million, showing a weaker labor market than expectations of 1.856 million.  Also, Eurozone May construction output fell -0.9% m/m, the third straight monthly decline and the biggest drop in 14 months.  On the positive side, the US July Philadelphia Fed business outlook survey rose +12.6 to 13.9, stronger than expectations of 2.9.

In a bearish factor, Russia’s crude exports in the week to July 14 rose by +200,000 bpd to 2.97 million bpd, according to vessel-tracking data compiled by Bloomberg.  Also, higher-than-expected Russian crude output is bearish for oil prices.  Russian crude production averaged 9.078 million bpd in June, above its agreed target of 9.049 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. A decline in crude oil 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 -20% w/w to 74.53 million bbl as of July 12.

Have a Great Day!

Loren R Bailey, President

Office: 479-846-2761

Cell: 479-790-5581

SCHEDULED OUT OF OFFICE  

July 19 After Lunch

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 18th Fueling Strategy: Please “KEEP YOUR TANKS TOPPED TODAY/TONIGHT, Friday prices will go UP 3 Cents ~ Be Safe Today

NYEX Crude      $  82.85 UP $2.0900

NYMEX ULSD     $2.4940 UP $0.0448

NYMEX Gas       $2.5013 UP $0.0238

NEWS

August WTI crude oil (CLQ24) on Wednesday closed up +2.09 (+2.59%), and Aug RBOB gasoline closed up +2.38 (+0.96%). Crude oil and gasoline prices Wednesday settled moderately higher.  Wednesday’s slump in the dollar index to a 3-3/4 month low is bullish for energy prices.  Gains in crude accelerated Wednesday after weekly EIA crude inventories fell more than expected to a 5-month low.  However, demand concerns limited gasoline gains after weekly EIA gasoline stockpiles unexpectedly increased.

Wednesday’s US economic news was supportive of energy demand and crude prices.   Jun housing starts rose +3.0% m/m to 1.353 million, stronger than expectations of 1.300 million.  Also, Jun building permits, a proxy for future construction, rose +3.4% m/m to 1.446 million, stronger than expectations of 1.400 million.  In addition, Jun manufacturing production rose +0.4% m/m, stronger than expectations of +0.1% m/m. Weakness in the crude crack spread is bearish for crude prices.  Wednesday’s crack spread fell to a 6-month low, discouraging refiners from purchasing crude oil and refining it into gasoline and distillates.

In a bearish factor, Russia’s crude exports in the week to July 14 rose by +200,000 bpd to 2.97 million bpd, according to vessel-tracking data compiled by Bloomberg.  Also, higher-than-expected Russian crude output is bearish for oil prices.  Russian crude production averaged 9.078 million bpd in June, above its agreed target of 9.049 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.

A decline in crude oil 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 -20% w/w to 74.53 million bbl as of July 12. 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. A decrease in OPEC crude output is positive for oil prices.  OPEC’s June crude production fell -80,000 bpd to 26.98 million bpd.

Wednesday’s weekly EIA report was mixed for crude prices.  On the positive side, EIA crude inventories fell -4.87 million bbl to a 5-month low, a larger draw than expectations of -1.08 million bbl.  Also, crude supplies at Cushing, the delivery point for WTI futures, fell by -875,000 bbl.  On the negative side, EIA gasoline supplies unexpectedly rose +3.3 million bbl versus expectations of a -1.23 million bbl draw.  Also, EIA distillate stockpiles rose +3.45 million bbl, well above expectations of a +200,000 bbl increase.

Wednesday’s EIA report showed that (1) US crude oil inventories as of July 12 were -4.7% below the seasonal 5-year average, (2) gasoline inventories were +0.03% above the seasonal 5-year average, and (3) distillate inventories were -6.7% below the 5-year seasonal average.  US crude oil production in the week ending July 12 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 12 fell -1 rig to a 2-1/2 year low of 478 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 19 After Lunch

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