The Dallas Fed Energy Survey saw its business activity index jump to 56 in 1Q22 up from 42.6 in 4Q21 and the highest level in the survey’s six pear history.
With oil prices soaring crude production rose at an even faster pace with the oil production index rising from 19.1 in 4Q21 to 45 in 1Q22. The natural gas production index rose from 26 points to 40.
The survey also notes strong growth in employment hours and wages as the aggregate employee hour index doubled.
On average the respondents expect a West Texas Intermediate oil price of $93 per barrel at the end of 2022. Survey participants expect Henry Hub natural gas prices of$4.57 per million British thermal units by the end of the year.
The uncertainty index rose from -1.5 to 31.9 indicating a major rise in uncertainty, driven by the Russian invasion of Ukraine and tight markets.