The weekly US rig count data, published on Friday, have generated considerable excitement in the oil markets recently, with the numbers released by oil-services group Baker Hughes moving crude prices. What’s going on? The numbers identify the level of drilling activity and have traditionally been regarded as a gauge for the health of the US oil industry. They have come under the spotlight since the oil markets have tanked and traders and investors try to figure out what low prices mean for US shale production. The latest figures showed that oil rigs have fallen 24 per cent from the recent peak of 1,609 in October last year. Last Friday’s figures were particularly stark, with 7.1 per cent of all US rigs idled in one week. OK, but what is a rig, exactly? These are not the big oil platforms in the North […]