The WTI crude price was up $0.10 for the week, to close at $50.85 per barrel on Friday, while the Brent crude spot price inched $0.08 lower to close at $52.00 per barrel, despite that Saudi Arabia’s oil minister Khalid al-Falih said, at the Oil & Money conference in London on Wednesday, non-OPEC producers, possible Russia and Azerbaijan, are ready to join an output cut.
The EIA weekly U.S. oil inventory report on Wednesday showed that domestic crude supplies dropped by 5.2 million barrels to 468.7 million barrels, excluding the Strategic Petroleum Reserve, in the week ending October 14, compared to S&P Global Platts analysts’ expectations for a rise of 2.5 million barrels. The American Petroleum Institute (API) inventory data on Tuesday showed a U.S. crude inventory decline of 3.8 million barrels.
Separately, the EIA said the weekly U.S. crude oil production increased by 14,000 barrels per day (bpd) for the week ending October 14, to 8.464 million bpd. Weekly U.S. crude oil output has fallen about 11.93% from the peak level of 9.61 million bpd during the week ending June 5, 2015. Houston-based oilfield services company Baker Hughes Inc. said on Friday that the U.S. oil rig count rose by 11 to 443, compared to 316, when the rig count hit the low on June 6, 2016.
The best performing S&P 500 sectors for the week were Materials and Financials, up 1.58% and 1.19%, respectively. The worst performing sectors for the week were Telecommunication services and Consumer staples down 3.80% and 0.44%, respectively.
S&P 500 Summary: +4.76% YTD as of 10/21/16
Barclay Hedge Fund Index: +4.28% YTD
Outperforming Sectors: Energy +15.25% YTD, Information technology +11.15% YTD, Utilities +10.84% YTD, Materials +7.92% YTD, Industrials +6.27% YTD, and Telecommunication services +5.96% YTD.
Underperforming Sectors: Consumer staples +3.18% YTD, Consumer discretionary +1.80% YTD, Financials +1.37% YTD, Healthcare –3.33% YTD, and Real Estate –5.37%