WTI crude oil is down 0.40% to $90.12 today as of 10:48 a.m. EST. Prices are up 10% over the past month and just shy of the 52-week high amid tightening supply. At the same time, traders remain on edge with the U.S. Fed’s policy decision slated for later today.
Pick the best stocks and maximize your portfolio:
- Discover top-rated stocks from highly ranked analysts with Analyst Top Stocks!
- Easily identify outperforming stocks and invest smarter with Top Smart Score Stocks
Numbers from the American Petroleum Institute indicate a fall of nearly 5.2 million barrels in U.S. commercial stockpiles during the week ending September 15. Additionally, numbers from the Energy Information Administration (EIA) point to a decline of nearly 2.1 million barrels in crude inventories during the same period. In comparison, crude inventories had increased by about 4 million barrels in the prior week.
The Chairman and CEO of Chevron (NYSE:CVX), Mike Wirth, expects oil to move towards the $100 per barrel mark. The EIA expects oil production in the U.S. to drop to nearly 9.39 million barrels a day next month. Further, OPEC has moved to limit oil supply amid market volatility, and Saudi Aramco CEO Amin Nasser expects oil demand to rise to 110 million barrels a day by 2030.
Meanwhile, natural gas is down 3.52% to $2.75 today and remains nearly 38% lower year-to-date. Prices have gained nearly 7% over the past month on expectations of a rise in cooling demand.
Is USO a Good Investment?
The United States Oil Fund ETF (USO) has gained nearly 27.5% over the past three months, and more gains could be in store if the supply tightness continues.
Click here to see a list of energy stocks that may be influenced by the latest developments in the energy markets.
Read full Disclosure
