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Crude oil production in the US is expected to decline by 910,000 barrels per day (bpd) to 11.34 million bpd in 2020, the US Energy Information Administration (EIA) noted in its latest report, per Reuters. 

Additional takeaways

“US crude output to fall 240,000 bpd to 11.10 million bpd in 2021 (vs fall of 290,000 bpd forecast last month).”

“US petroleum demand to fall 2.38 million bpd to 18.16 million bpd in 2020 (unchanged vs previous forecast).”

“US petroleum demand to rise 1.63 million bpd to 19.79 million bpd in 2021 (vs rise of 1.69 million bpd previously forecast).”

Market reaction

Crude oil prices showed no immediate reaction to this report. As of writing, the barrel of West Texas Intermediate was virtually unchanged on a daily basis at $45.60.