American oil and gas drilling has dropped to the lowest level since 1949, but don't be too dismayed, the price should rebound by the end of the year, according to at least one investor.

Only 301 rigs were drilling for oil and gas last week — the lowest combined count in Baker Hughes records going back to 1949. Before this year, the lowest combined count was 404, in mid-2016. The combined count was down 17 from the previous week.

E&E News adds that while the reduction in domestic oil production was anticipated to increase the price of natural gas, that doesn't appear to be happening to the extent gas producers anticipated.

Despite the drop in production, one investor says that domestic oil production will increase to at least $65 per barrel by the end of the year. I previously spoke with the Montana Petroleum Association's Alan Olson who told me he expected a rebound by the 1st quarter of next year.

Jay Young, the founder of King Operating, and author of The Upside of Oil & Gas Investing spoke with us on the radio Monday. According to a report from Fox News Radio, as cities reopen, traffic and oil demand is reappearing and helping to rally oil prices. Fox News Radio added:

Global oil markets and prices have been underpinned by the returning demand for motor fuels across Asia and in Germany; WTI crude oil and US gasoline prices have risen by double digit percentages from their late April price lows. Brent crude oil, the benchmark for non-US global crude prices, has strengthened with Chinese buyers reportedly importing large volumes of crude oil to satisfy increased domestic refinery demand.  

Is $65 per barrel oil possible by the end of the year? Jay Young says it could get even higher. Click below for audio of our conversation.

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