For many, this month has been very good to us. January is traditionally a month of hope and resolutions that many feel will set the tone for the upcoming year. Based on this month, we are looking forward to a great 2018!
Crude oil is in a similar position – January has been very good for it.
According to the Bloomberg article entitled, Dollar Helps Propel Oil to Three-Year High as Supplies Tighten, “[o]il just got an extra tailwind from a weakening dollar as this month is shaping up to be the best January for black gold in 12 years.”
As I write this, according to Bloomberg Energy, WTI Crude is at $66.20 per barrel and Brent Crude is at $70.48 per barrel.
Basically oil is rallying and prices are increasing as the dollar is weakening…
In other news, Baker Hughes released its U.S. rig count today, which can be found here. According to Baker Hughes’ Rig Count Overview & Summary Count, as of today, the U.S. rig count has increased 11 from the prior count on January 19, 2018 and a whooping 235 rig increase since the same time last year. Huge increase since January of 2017!
The U.S. Energy Information Administration (“EIA”) also released its Drilling Productivity Report for January 2018, which can be found here. The report shows that oil and natural gas production are up through the month of December 2017 for the Anadarko region, Bakken region, Eagle Ford region, Niobrara region, Permian region and projected oil and natural gas production through February 2018 are also on the increase for all regions except the Appalachia and Haynesville regions.
January has been good to us.
Side note, I recently read in The Old Farmer’s Almanac that there are two full moons this month – the Wolf Moon, the first full moon of the year, was on January 1, and we have another full moon coming on January 31. According to The Old Farmer’s Almanac, since the second full moon that will occur January 31 has no given name, that makes it a Blue Moon.
Things really do happen once in a Blue Moon!
And for that, I think we should celebrate how good January has been to us by cracking open a Blue Moon beer!