US commercial crude oil inventories dropped -3.8m barrels in the week ending October 9. At 489.1m barrels, inventories are around 11% above the five year average for this time of year. Gasoline inventories dropped -1.6m barrels. Distillate dropped -7.2m barrels. Propane/propylene dropped -1.9m barrels. Commercial petroleum dropped -16.8m barrels.
41.43 resistance appears to be a barrier for WTI oil price for now. Still, even if this level is taken out, we’d expect strong resistance from 43.50 to limit upside. Current price actions from 43.50 is seen as a consolidation pattern in medium term scale. That is, we’re not expecting a break from range of 34.36/43.50 any time soon.
