The U.S. Energy Information Administration on Wednesday reported U.S. crude output climbed to 10.251 million barrels a day last week - a weekly record - mainly as a result of relentless shale production.
This led oil prices to rally close to $70 per barrel over the past month.
Although Wall Street stocks recorded their biggest intraday drop since 2011 on Monday and measures of volatility hit multi-year highs, oil has not been as disturbed as one would think.
Saudi Arabia's oil production increased by 60,000 bpd to 10.10 million bpd, though still less than the amount agreed in the OPEC agreement.
The relative performance of the S&P energy index has generally tracked oil prices, but a gap emerged in 2017 as crude prices recovered but shares in energy companies lagged, indicating they are primed to catch up.
Last week, the US Energy Information Administration (EIA) reported the tenth straight weekly drop in USA stockpiles of crude oil. "Thus a real pain-trade has not yet hit the oil market", said Bjarne Schieldrop, head of commodity strategy.
West Texas Intermediate for March delivery traded at $61.48 on the New York Mercantile Exchange, down 31 cents at 9:26 a.m.in Singapore. Although it exports more than two million barrels a day, the Middle Eastern country typically imports extra-light condensate to process in a unit known as a splitter.
Shale should continue to pressure the market, many analysts say.
The US now exports up to 1.7 million barrels per day of crude, and this year will have the capacity to export 3.8 billion cubic feet per day of natural gas. "Monthly average Brent prices have increased for seven consecutive months", EIA said.
Mr Altaie said that "I see Opec compliance sustaining a couple of months as long as the prices are sustained at the current levels". In particular, the main USA stock indexes on February 6, rose by 1.8-2.3 percent. Saudi Arabia and rivaling Russian Federation are the world's two largest crude producers now accounting over 40% of global oil, and the United States is on pace to surpass them.
Omega Advisors cited Nabors and independent USA drillers WPX Energy, Parsley Energy, and Hess as some of the companies that will benefit the most from the higher oil prices.
Baker Hughes on Friday said the number of active rigs drilling for oil in the U.S. had risen by six the preceding week, in the second consecutive weekly rise. Crude and oil product inventory builds aside, the EIA also reported United States domestic crude production hitting 10.251 million b/d, exceeding the 10.044 million b/p record set in 1970.