VanEck Oil Services ETF (OIH) News Today

VanEck Oil Services ETF (OIH) is trading lower as a mix of supply-side developments and demand concerns weigh on oil services outlook. Recent data and industry moves offer both support and headwinds for drilling and service companies held in the ETF.

• U.S. crude inventories fell by 2.8 million barrels, well above expectations, which may boost drilling activity and service demand.
• Shell’s $510 million purchase of TotalEnergies’ stake in Nigeria’s deep-water Bonga field could spur offshore services work in the region.
• A resurgence of Greek shipping firms distributing Russian crude may stabilize tanker rates but adds little near-term clarity.
• Crude markets are attempting to build a base for a potential summer rally, offering a longer-term positive technical setup.
• OPEC+ maintained current production policy this week, keeping near-term supply largely predictable but leaving room for future adjustments.
• OPEC+ is poised to discuss a July output increase exceeding 411,000 bpd, which would add to global supply pressure on service margins.
• Analysts cut oil price forecasts for the third straight month, citing swelling OPEC+ supply and ongoing U.S.-China trade tensions.
• Whipsawing U.S. tariff rulings and legal battles cloud investment decisions for energy infrastructure and services firms.
• WTI crude remains capped below its 50-day moving average, reflecting bearish technical pressure that may delay new rig starts.
• Signs of a U.S. GDP contraction have emerged, tempering the demand outlook for fuel and associated services.