May 25, 2018 – The Street
Crude Slides as Russia Eases Cuts and U.S. Oil Producers Boost Rig Count
The number of active oil drilling rigs in the U.S. increased by 15 to 859.
By: Anders Keitz
Crude prices started sliding late Tuesday and continued in earnest on Wednesday after U.S. crude inventories climbed by 5.8 million barrels to 438.1 million barrels, according to the U.S. Energy Information Administration. Credit Suisse analysts, including William Featherston, said the build in inventory was "bearish" compared to expectations of a 2-million-barrel draw…
Read the full article here: https://www.thestreet.com/markets/oil-slides-tumbles-as-u-s-oil-producers-boost-rigs-14601961
…Permian output has been "bouncing up against the capacity of takeaway pipelines and in-region refineries to deal with it" since late March, according to a report by RBN Energy, a fundamentals analytics company that provides consulting and advisory services to the energy industry.
In addition to rising U.S. production and swelling crude inventory levels, international geopolitical concerns contributed to crude's decline in the second half of the week. Oil prices fell by more than 1% on Thursday after Russia and the Organization of Petroleum Exporting Countries are considering whether it's appropriate to scale back production cuts, according to Russian Energy Minister Alexander Novak.
