Oil sinks as the US rig count hits its highest level since March 2015

Read full story

oil rigREUTERS/Jim Urquhart

Crude prices fell Friday afternoon as the US added oil rigs for the sixth week in a row, bringing the total count to its highest level since March 2015.

West Texas Intermediate was down 1.2% to $70.54 at 2:45 p.m. ET. Brent, the international benchmark, fell 0.6% to $77.07. Both still held close to three-and-a-half year highs.

Ten oil rigs were added in the US this week, Baker Hughes data showed, bringing the total count to 844. US drillers have been ramping up production as crude prices surge and OPEC supply concerns mount.

President Donald Trump announced Tuesday plans to withdraw from the Iran nuclear deal. The move could put hundreds of thousands of barrels at risk as the US reimposes hefty sanctions on the third-largest OPEC producer and tensions in the Middle East soar.

On top of that, Venezuelan output has been on a steady decline as an economic crisis in the country deepens.

WTI is up 49.20% over the year.

Screen Shot 2018 05 11 at 2.49.06 PMMarkets Insider

Get the latest Oil WTI price here.

Add Comment()

Comments ()

Sort By:
Be the first one to comment.
We have sent you a verification email. This comment will be published once verification is done.