Baker Hughes US oil rig count unchanged this week

<ul><li>Oil rigs unchanged at 512</li><li>Gas rigs down 1 to 114</li><li>Oil rigs down 16% from the peak</li></ul><p>If I'm OPEC+ and looking at this, I feel totally in control. There's no surge of US production coming to counter OPEC cuts.</p><p>Some notes from John Kemp:</p><ul><li>Based
on the historical record, after prices peak it takes on average 5
months for drilling to turn down and 12 months for production to
decline.</li><li>Following the drilling peak, Lower 48 output is likely to peak in the third quarter of 2023</li><li>Flat or falling Lower 48 production will contribute to a tightening global oil market during the final four months of 2023</li></ul><p>It's no wonder WTI crude is above $85 today. It could blow out higher next week if OPEC gets aggressive.</p>

This article was written by Adam Button at www.forexlive.com.