US commercial crude oil inventories dropped -1.0 million barrels in the week ending January 29. At 475.7 million barrels, inventories are about 4% above the five year average for this time of year. Gasoline inventories rose 4.5 million barrels. Distillate fuel inventories were virtually unchanged. Propane/propylene inventories dropped -1.6 million barrels. Commercial petroleum inventories rose 2.9 million barrels.
WTI crude oil reaches as high as 55.96 so far today, meeting 61.8% projection of 47.24 to 53.92 from 51.58 at 55.70. There is no sign of topping yet. Further rally should be seen to 100% projection at 58.26 next. For now, outlook will remain bullish as long as 53.92 resistance turned support holds, in case of retreat.
