The latest Baker Hughes report reveals a modest increase in the total number of active drilling rigs in the U.S., bringing the count to 548, although this is still down 30 rigs from last year. The oil rig count rose by two to 410, while gas rigs decreased by one to 129, marking a year-over-year decrease in oil rigs but an increase in gas rigs. Additionally, U.S. crude oil production averaged 13.573 million barrels per day, slightly below record levels, while the Frac Spread Count increased to 174, indicating more crews are completing wells.

These developments signal a cautious recovery in drilling activity amid fluctuating oil prices, which saw slight gains on Friday despite a weekly decline. Brent crude is trading at $100.40 per barrel, while WTI is at $95.12. The ongoing geopolitical tensions in the Strait of Hormuz are likely influencing market dynamics, keeping traders vigilant.

Market professionals should monitor these rig counts and production levels closely, as they can impact supply forecasts and pricing strategies in the energy sector.

Source: oilprice.com