Baker Hughes, the oilfield services group, reports there were 467 rigs drilling oil wells in the US this week, down 31 from last week. It was the steepest drop for 10 months.
The number of working US oil rigs has dropped 71 per cent from its peak in October 2014, to its lowest level in almost six years.
The slowdown in US oil productivity will not be far behind. Enjoy low gasoline price while you can. They will not be here long-term.
-RW
Sure they will. We might be overshooting to the downside a bit, but once oil moves up, these rigs can be turned right back on. I would be very surprised to see $60-$70+ oil anytime soon.
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