U.S. Oil and Gas Output Rises Amid Crude Price Swings, Dallas Fed Survey Shows
Source Summary
U.S. oil and gas production increased in the third quarter among exploration and production firms surveyed by the Dallas Federal Reserve, which covers companies in Texas, southern New Mexico, and northern Louisiana. WTI crude averaged $86 per barrel during the quarter but swung between $67 and $107 in less than three months, creating uncertainty for producers about future price direction.
Why it matters
Production growth despite extreme price volatility indicates the resilience of U.S. energy output, but widespread uncertainty about price direction may constrain future investment and production decisions.
What remains uncertain
The source does not specify the exact direction producers expect prices to move or the magnitude of their production plans going forward.
