The number of US oil rigs in operation fell again last week.
As of January 2, the number of US oil rigs in operation declined by 17 to 1,482, with the total number of oil and gas rigs falling by 29 to 1,811, according to the latest data from Baker Hughes.
In Canada, the number of rigs in operation fell by 48 to 208, with oil rigs falling by 42 and gas rigs in use falling by 6.
In Canada, there are now just 52 oil rigs in operations, down from 94 last week and 152 a year ago.
Last week, the total number of oil and gas rigs in use in the US fell by 35, the largest decline in almost two years.
For the second week in a row, the biggest number of declines in rig usage came from Texas, with 12 rigs in that state shuttering production after a 16 rig decline the week before.
Recall that last week’s release — also on a Monday — followed the latest manufacturing survey from the Dallas Federal Reserve which showed that a number of business executives in Texas are concerned about the effect plunging oil prices could have on that state’s economy.
Monday’s latest rig count data comes after West Texas Intermediate crude oil fell below $US50 a barrel for the first time since April 2009, and while WTI has climbed back above that level, oil is still down more than 4%.
Additionally, US stocks are selling off, with the Dow down more than 300 points.
Here’s the latest chart of the total number of oil and gas rigs in use in the US, with the drop getting more and more prominent.