Masterforex-V Academy reports that the amount of oil rigs in the USA dropped by 15 more units to reach the lowest level since 2009. With that being said, only 372 oil rigs are functioning in the USA to date. The information is confirmed by The Financial Times with reference to Baker Hughes.
At the same time, it is reported that over the last 2 years, the mount of fully functioning oil rigs has already decreased by as much as 70%. In the mid fall of 2014, there were over 1600 such units functioning all over the U.S.
On top of that, the USA also reduced the amount of functioning natural gas rigs by 3 units over the same reporting period to make it shrink to 92 units, Masterforex-V Academy reports. Apparently, the decision to cut the amount of oil rigs has everything to do with the fact that oil prices remain low, thereby making the business unprofitable or struggling to breakeven to best. At the same time, the U.S. oil inventories keep on growing. With that being said, oil producers are trying to cut the production in order to cap the supply and restore the market balance as well as to reduce the oil inventories, which are around all-time highs.
At the same time, shortly after the news about the oil rig cut in the USA, Brent crude oil slightly appreciated but then went down below $40/b after another report on the U.S. oil inventories, which expanded considerably over he reporting period. More specifically, the inventories increased by 9 million barrels all the way up to 533 million barrels, which is too much for this time of the year.
