Tag: Crude Oil

Oil slips as rising global supplies pressure market

Crude oil prices are off to a lower start this week amid signs of rising supplies. February WTI crude oil traded moderately lower on Wednesday, touching below $58 a barrel before recovering losses. Prices struggled to hold above $60 after last week’s close above the level. The Energy Information Administration released its latest Short-Term Energy…

Written by

Dawson Schmitt

·

December 10, 2025

Crude oil prices are off to a lower start this week amid signs of rising supplies. February WTI crude oil traded moderately lower on Wednesday, touching below $58 a barrel before recovering losses. Prices struggled to hold above $60 after last week’s close above the level.

The Energy Information Administration released its latest Short-Term Energy Outlook on Tuesday, which showed continued expectations of global supply growth. Production is expected to exceed consumption in 2026, leading to declining prices.

The EIA also said that U.S. production will hit a record of 13.61 million barrels a day this year despite weaker prices. The production growth occurred despite a large drop in oil rig counts, with an increasing focus on production efficiency.

Weekly EIA data showed that fuel inventories surged last week, including diesel stocks, which rose by the most since early September. Refiners seem to be capitalizing on strong diesel margins, which has led to a recent decline in heating oil futures.

Retail diesel prices have been showing more notable declines following the recent surge in November. On-highway diesel fell to an average of $3.665 per gallon, down 9.3 cents from last week, according to the EIA. However, prices remained 20.7 cents higher than a year ago.
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PAST PERFORMANCE IS NOT INDICATIVE OF FUTURE RESULTS. FUTURES TRADING INVOLVES SUBSTANTIAL RISK AND IS NOT SUITABLE FOR ALL INVESTORS.
Crude falls to 3-week low amid signs of oversupply

WTI crude slid below $59 a barrel Wednesday as rising OPEC output and higher U.S. production forecasts fueled worries of a global glut. The EIA now sees record U.S. output in 2026, while tightening diesel supplies and stronger refining margins could cushion some of the pressure on the product market.

Written by

Dawson Schmitt

·

November 12, 2025

Crude oil and product market futures took a large hit on Wednesday on signs of a global glut. January WTI crude oil traded $2.63 cents lower to $58.36 a barrel, the lowest close since Oct. 21.

Prices have been trading in a wide sideways range since this spring and summer. Recently, the crude oil market had been fighting to hold above the $60 level amid bearish fundamentals. Prices have been under pressure from rising OPEC supplies. Additionally, the Energy Information Administration continued to raise its U.S. crude oil production forecast to 13.58 million barrels a day for 2026, up from the previous estimate of 13.51 million.

Meanwhile, U.S. diesel supplies are expected to get tighter this year to 115.5 million barrels, down nearly 15 million from 2024 and about 4 percent lower than the EIA’s initial forecast.

Refinery companies are expected to earn better margins due to cheaper crude and higher diesel prices. The EIA reported that diesel margins are about 33 percent higher than a year ago at 69 cents. Profits could reach 84 cents in 2026, the EIA said.

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PAST PERFORMANCE IS NOT INDICATIVE OF FUTURE RESULTS. FUTURES TRADING INVOLVES SUBSTANTIAL RISK AND IS NOT SUITABLE FOR ALL INVESTORS.
Oil falls back below $60 amid higher inventories

WTI crude futures slipped more than 90 cents Wednesday, breaking below $60 amid rising U.S. stockpiles and weak gasoline demand. EIA data showed a 5.2-million-barrel build in crude inventories, while OPEC+ plans to pause production hikes next year.

Written by

Dawson Schmitt

·

November 5, 2025

U.S. oil prices resumed their week of lackluster trade amid expectations of higher supplies and lower demand. December WTI crude oil futures traded more than 90 cents lower by the afternoon on Wednesday. Prices pushed back below $60 a barrel, which had held prices up for the past week.

Much of Wednesday’s weakness came after data from the Energy Information Administration showed higher-than-expected increases in domestic inventories. U.S. crude oil inventories rose by 5.2 million barrels last week to 421.2 million barrels, the highest since July.

U.S. gasoline demand has been weakening, though inventories have also been trending lower due to weaker refining.

Globally, OPEC+ said they will proceed with another 137,000 barrel-a-day production increase in December. However, the cartel signaled it will pause further increases through the first quarter of next year due to the bearish supply and demand outlook.

Russia’s crude oil exports surged in October due to damage at refinery facilities from Ukrainian air strikes. Shipments last month were the highest since May 2023, according to shipping data tracked by Bloomberg.

Canadian Prime Minister Mark Carney disclosed a climate budget plan that could potentially scrap a cap on oil and gas emissions, opening the door for more production.

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PAST PERFORMANCE IS NOT INDICATIVE OF FUTURE RESULTS. FUTURES TRADING INVOLVES SUBSTANTIAL RISK AND IS NOT SUITABLE FOR ALL INVESTORS.
Crude oil, diesel prices under pressure this week

Crude oil futures remained under pressure this week after dipping below $60 a barrel on Friday. Heightened U.S.-China trade tensions have fueled concerns over weaker global demand, deepening the recent selloff.

Written by

Dawson Schmitt

·

October 15, 2025

Crude oil futures fell under immense pressure this week following Friday’s sharp selloff. November WTI crude oil recovered slightly on Wednesday after posting fresh five-month lows the previous day.

Prices traded below $60 a barrel this week for the first time since June amid rising trade tensions between the U.S. and China. Tit-for-tat between the two countries added to the recent bearish sentiment, as decreased trade could lower crude demand further below future production estimates.

The Department of Energy will release its weekly petroleum status report on Thursday. Last week’s report showed that commercial crude oil inventories have been rising again but remain below year-ago levels.

Heating oil futures led the energy markets lower on Wednesday and are trading at the lowest since early June. Retail diesel prices have been softening over the past few weeks due to lower demand. However, prices remain about 3.4 cents higher than a year ago.

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PAST PERFORMANCE IS NOT INDICATIVE OF FUTURE RESULTS. FUTURES TRADING INVOLVES SUBSTANTIAL RISK AND IS NOT SUITABLE FOR ALL INVESTORS.
Crude oil futures pressured by bearish outlooks

WTI crude futures tried to recover this week, briefly topping $62.90 before slipping back as U.S. production hit record levels. The EIA projects prices to average $62 in Q4 2025 and fall to $46 by early 2026 amid growing global supplies. A new Israel-Hamas ceasefire deal also eased geopolitical risk pressure on the market.

Written by

Dawson Schmitt

·

October 9, 2025

Crude oil futures attempted to post a recovery this week after falling to fresh four-month lows last Thursday. November WTI crude traded as high as $62.92 a barrel on Wednesday but failed to hold onto gains through the end of the session and into Thursday. Prices had been unable to trend higher since rallying this summer. Bearish fundamentals have broadly overshadowed geopolitical risks in the markets.

The Energy Information Administration’s weekly petroleum status report showed that U.S. commercial crude oil inventories rose sharply last week, though stocks remain near seasonal lows. Additionally, U.S. crude oil production rose to a new daily record last week.

The EIA expects WTI crude oil prices to fall to an average of $62 a barrel in the fourth quarter of 2025, a level futures have gravitated toward for much of the past two months. Additionally, the EIA predicts prices to fall as low as $46 a barrel in the first quarter of 2026. That would represent the lowest spot price for crude since December 2020.

The EIA expects global oil inventories to grow through 2026, putting significant downward pressure on prices over the next few months. Much of that growth is expected for countries outside of OPEC+ countries, namely the U.S., Brazil, and Canada.

Israel and Hamas have reportedly agreed to phase 1 of a peace deal brokered by President Trump this week. Both sides agreed to a ceasefire, as well as a hostage relief. The idea of cooling tensions in the Middle East could further provide bearish pressure to the energy markets.

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PAST PERFORMANCE IS NOT INDICATIVE OF FUTURE RESULTS. FUTURES TRADING INVOLVES SUBSTANTIAL RISK AND IS NOT SUITABLE FOR ALL INVESTORS.
Crude oil surges amid attacks on Russian facilities

Crude oil futures climbed to a three-week high on Wednesday as falling U.S. inventories and mounting geopolitical tensions lifted prices. Geopolitical risks intensified after President Trump authorized NATO forces to shoot down Russian jets violating alliance airspace, while Ukrainian drone strikes have been targeting Russian energy infrastructure.

Written by

Dawson Schmitt

·

September 24, 2025

Crude oil futures surged on Wednesday amid declining U.S. supplies and rising geopolitical risks.

November WTI crude oil surged about $1.60 on Wednesday to $65 a barrel, reaching a three-week high. Prices were able to climb above the 200-day moving average, where a close above the level could favor the bull camp. Diesel prices also jumped higher for a second day.

On Tuesday, President Trump gave the green light to shoot down Russian fighter jets entering NATO airspace. Russia has also been mulling over diesel export restrictions due to recent attacks from Ukrainian drones on energy infrastructure.

Bloomberg reported this morning that two key oil ports halted loading of tankers following warnings of drone attacks.

The Energy Information Administration’s weekly petroleum report showed that U.S. commercial crude oil inventories fell by 607,000 barrels last week, the lowest since January. That came as stockpiles had declined about 10 million barrels the previous week.

The long-term fundamental outlook for oil remains bearish due to rising supplies outpacing demand.

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PAST PERFORMANCE IS NOT INDICATIVE OF FUTURE RESULTS. FUTURES TRADING INVOLVES SUBSTANTIAL RISK AND IS NOT SUITABLE FOR ALL INVESTORS.
Crude oil pauses gains despite large inventory draw

WTI futures turned lower on Wednesday after surging up to the 200-day moving average the previous session. Traders shrugged off the latest EIA report that showed a large draw in U.S. crude inventories. The Federal Reserve is expected to cut interest rates Wednesday afternoon.

Written by

Dawson Schmitt

·

September 17, 2025

Oil prices have largely seen a recovery to start the week despite getting whipped around on Wednesday.

October WTI crude oil traded moderately lower on Wednesday, holding onto the $64 handle. Prices had surged this week before finding resistance at the 200-day moving average near $65 a barrel.

The Energy Information Administration’s weekly petroleum report showed that commercial crude oil inventories fell 9.2 million barrels during the week ending Sept. 12. The draw brought stocks to the lowest level since June. Exports surged above 5 million barrels and were the highest since December 2023.

Oil futures sold off on the news, largely due to the EIA reporting a large adjustment factor that skews the data slightly.

Domestic diesel inventories have been rising. Weekly data showed that stocks rose by over 4 million barrels to the highest since late January. The increase came as production, imports, and exports were lower, while demand rose during the week.

Diesel supplies have been recovering from 20-year seasonal lows earlier this summer and are now back in line with year-ago levels.

The Federal Reserve will report its latest monetary policy later today. Market expectations expect the Fed to cut the benchmark interest rate by at least 25 basis points. That would bring the rate down to 4.00 to 4.25 percent.

Commodity markets rallied on Tuesday in anticipation of the rate cut. Additionally, the U.S. dollar broke lower to begin the week.

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PAST PERFORMANCE IS NOT INDICATIVE OF FUTURE RESULTS. FUTURES TRADING INVOLVES SUBSTANTIAL RISK AND IS NOT SUITABLE FOR ALL INVESTORS.
Crude oil recovers from 2-week low

WTI crude climbed for a third straight session, supported by geopolitical tensions and technical strength near $61–$62. Gains were capped by rising U.S. inventories and concerns over weaker demand.

Written by

Dawson Schmitt

·

September 10, 2025

Crude oil futures traded higher for a third consecutive session this week after falling to a two-week low on Friday.

October WTI crude oil traded about 90 cents higher on Wednesday to a high of $63.49 a barrel before giving back some of those gains.

Prices have been pressured by expectations of higher global supplies and lower demand, though futures continued to find support around the $61-$62 level.

President Trump has been threatening tariffs against Russia to pressure the country due to its continual attacks against Ukraine. Prices were supported early this morning following an Israeli attack against Hamas leaders in Qatar.

The U.S. Energy Department reported that commercial crude oil inventories rebounded for a second week. Inventories tend to rise during the fall months as companies refill stocks following the driving season.

U.S. diesel and gasoline inventories saw a large build last week as demand dropped. Retail diesel prices continued to move higher and are above year-ago levels.

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PAST PERFORMANCE IS NOT INDICATIVE OF FUTURE RESULTS. FUTURES TRADING INVOLVES SUBSTANTIAL RISK AND IS NOT SUITABLE FOR ALL INVESTORS.
Oil pressured this week by higher supplies

Crude oil futures slid on Thursday as rising U.S. stockpiles and expectations of higher global output weighed on prices. Diesel prices have eased from summer highs but remain firm amid tight inventories and strong exports.

Written by

Dawson Schmitt

·

September 4, 2025

Crude oil futures came under pressure on Thursday on expectations of higher U.S. and global supplies.

October WTI crude oil fell sharply this morning and traded as low as $62.72 a barrel, the lowest in more than a week. Prices rallied off the session lows but still remained lower on the day, as weekly EIA data showed U.S. crude oil inventories rose more than expected last week.

Prices had traded at their highest in almost a month on Tuesday before getting smacked down by news of higher global production.

OPEC+ will meet again on Sunday to discuss production targets. The market is expecting the cartel to raise production estimates. Fresh additions will likely increase an already expected surplus of crude oil for this year.

U.S. oil prices have traded about 10 percent lower this year as OPEC+ has been boosting production targets.

Retail diesel prices have come off their summer peak but remain elevated from the spring. U.S. diesel inventories have been rising since early July but are below year-ago levels. Rising exports are a factor, as shipments remained high despite domestic demand ramping up.

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PAST PERFORMANCE IS NOT INDICATIVE OF FUTURE RESULTS. FUTURES TRADING INVOLVES SUBSTANTIAL RISK AND IS NOT SUITABLE FOR ALL INVESTORS.