US crude oil stocks posted an increase of 6.8 MMBbl from last week. Gasoline and distillate inventories increased 3.2 MMBbl and 4.6 MMBbl respectively. Yesterday afternoon, API reported a crude oil build of 3.6 MMBbl, alongside gasoline and distillate builds of 2.7 MMBbl and 6.3 MMBbl, respectively. Analysts, to the contrary were expecting a crude oil draw of 0.2 MMBbl. The most important number to keep an eye on, total petroleum inventories, posted an increase of 22.4 MMBbl. For a summary of the crude oil and petroleum product stock movements, see the table below. US crude oil production increased 100 MBbl/d last week, per the EIA. Crude oil imports were up 1.07 MMBbl/d last week to an average of 7.3 MMBbl/d. Refinery inputs averaged 16.9 MMBbl/d (171 MBbl/d more than last week’s average), leading to a utilization rate of 91.8%. Report is bearish due to huge crude and total stocks builds and pressuring prices. Prompt-month WTI was trading down $2.13/Bbl, at $51.35/Bbl, at the time of writing. Prices had a tough week, tumbling to their three-month lows on Friday and ending the month of May with the largest monthly drop since November of 2018, as trade tensions and fears of… continue reading
Continue reading Extremely Bearish Inventory Report Pulls the Prices Below $52. This article appeared first on CTRM Center.
Source: CTRM Center