HMM: Oil, crushed in the first half of this year, is about to rebound, analyst says.

“You are going to see crude oil inventories globally and domestically begin to decline month after month. That will support crude oil prices, boosting the entire sector,” Thummel said.

Thummel also sees a lack of capital investment in U.S. production leading to an undersupply of crude oil, resulting in a rise in crude prices.

Oilfield services firm Baker Hughes reported on Friday that its weekly count of oil rigs operating in U.S. fields fell by two rigs, the first decline since January. Last week, U.S. crude output dropped 100,000 barrels per day to 9.3 million bpd, the steepest weekly fall since July 2016.

We’re still a long, long way off from $100 oil again.