What a high or low reading means
A reading above the five-year average means the U.S. is producing more crude than it did in the same week of recent years. A supply-side headwind for prices, all else equal. A reading below the band flags lost supply: winter freeze-offs in Texas, Gulf of America hurricane shut-ins, or a pullback in drilling. Because production is the supply line of the U.S. balance, the level versus the seasonal norm is the first question the weekly report answers.