U.S. Rig Count Declines as Oil and Gas Drilling Slows

U.S. drilling activity eased at the start of the year, with Baker Hughes reporting a four-rig decline in the total oil and gas count to 544, about 40 fewer rigs than a year ago. Oil-directed rigs fell by three to 409, placing them 71 below year-ago levels, while gas-focused rigs slipped by one to 124, still 24 higher than the same period last year, and miscellaneous rigs increased by two. The pullback underscores ongoing capital discipline among U.S. producers and may influence expectations for future supply growth in both crude and natural gas markets, with implications for benchmark prices such as Oil – US Crude and Natural Gas.

Over the past month, Oil – US Crude has been broadly flat, slipping about 0.25%, suggesting that futures prices have largely absorbed softer rig counts and are instead focusing on demand signals and inventory trends; the 1-day technical outlook currently points to a cautious Hold stance. In contrast, Natural Gas has dropped roughly 20.6% over the last month, reflecting ample supply, mild weather patterns, and storage dynamics that outweigh incremental shifts in the gas rig count, with its short-term technical picture signaling a downside bias via a Sell indication. Investors can explore more updates, prices, and analysis across global markets at Commodities.