Crude Oil Prices Fall for Third Straight Week
May 8, 2023
Crude oil prices closed higher on Friday but fell for the 3rd straight week. Price rose Friday by a better than expected US jobs report for April, the US dollar index near a 1-year low and consumer hedgers buying at low price levels. Many analysts point out that the recent crude oil sell-off does not match the oil fundamentals of supply/demand and driven by recession and bank fears.
Baker Hughes reported on Friday that 3 US crude oil rigs came offline this past week, and the US has 33 fewer crude oil rigs online this year vs. the end of December 2022.
Bloomberg reports the ongoing bank crisis has started to register in places other than Wall Street and Silicon Valley. The last time Americans were this worried about the money they had entrusted to their financial institution of choice was 2008. There are still differing opinions about how concerned we should be about the banking situation, but this will be a story to continue to watch.