CRUDE OIL US crude oil inventories posted a decrease of 3.1 MMBbl last week, according to the weekly EIA report. Gasoline and distillate inventories increased 3.6 MMBbl and 5.7 MMBbl, respectively. With the build in gasoline and distillate inventories, total petroleum inventories posted a substantial increase of 11.7 MMBbl. US crude oil production decreased 400 MBbl/d last week, per EIA, with the Gulf of Mexico hurricane-related shut-ins. Crude oil imports were down 0.47 MMBbl/d, to an average of 6.8 MMBbl/d versus the week prior. Prices softened last week, as impacts from Hurricane Barry were short-lived and prices were unable to maintain the bullish bias developed in the previous week. The IEA report the week prior brought attention to the declining demand growth (the slowest since 2011). The build in global stockpiles during the first half of 2019 brought concerns that a possible supply glut could arise in 2020 regardless of the efforts of OPEC+ to limit supplies. Already weak WTI prices received no assistance from the EIA inventory release, which showed a decline in crude inventories but a substantial gain in total petroleum inventories, exacerbated the bearish elements, and sent prices to the lows of the week by Thursday. Gloomy… continue reading
Continue reading The Week Ahead For Crude Oil, Gas and NGLs Markets – July 22, 2019. This article appeared first on CTRM Center.
Source: CTRM Center