Oil Declines as Dollar Advances, U.S. Shale Drilling Picks Up
- Rigs targeting crude in U.S. rose by 17 to 583: Baker Hughes
- U.S supply probably rose 2.5 million barrels: Bloomberg survey
Crude Positioning May Be a Bit Too Exuberant
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Oil dropped as the dollar climbed and as the revival of U.S. shale drilling boosted the country’s production outlook.
Futures fell 1.5 percent in New York. The dollar rose 0.3 percent against leading currencies, making commodities priced in the greenback less appealing to investors. U.S. oil drillers boosted the rig count by 17 to 583 last week, the most since October 2015, according to Baker Hughes Inc. A government report on Wednesday is projected to show that U.S. crude stockpiles climbed for a fifth week, according to a Bloomberg survey.