Crude oil prices remain in the doldrums, hovering around the $40 a barrel range.
Production is gradually sinking as operators continue to idle drilling rigs. In fact, Baker Hughes in its weekly survey in late March reported that the number of rigs at work in the U.S. dropped to a record low of 464, far below its recent high less than two years ago of 1,931. Texas still has 46 percent of the rigs operating in the U.S. but the low price of oil continues to push rig counts lower.
Stockpiles of oil in storage worldwide are at record highs, meaning there will probably be no quick recovery in price unless the Organization of Petroleum Exporting Countries cuts back its production, which is putting an extra million barrels a day into the market.