Wed, Feb 08, 2023 @ 17:43 GMT
HomeAction InsightOil N' GoldSurprising Increase in Crude Inventory Aggravates Weakness in Oil Prices

Surprising Increase in Crude Inventory Aggravates Weakness in Oil Prices

The report from the US Energy Information Administration (EIA) shows that total crude oil and petroleum products stocks dropped -1.41 mmb to 1252.02 mmb in the week ended November 9. Crude oil inventory jumped +10.27 mmb (consensus: +3.18 mmb) to 442 mmb. Inventories increased in 4 out of of 5 PADDs. Meanwhile, Cushing stock added +1.17 mmb to 35.46 mmb. Utilization rate climbed higher, by +0.1% to 90.1% and crude production gained +0.86M bpd to 11.7M bpd for the week.

Concerning refined oil product inventories, gasoline inventory dipped -0.62 mmb to 226.61 mmb as demand gained +1.02% to 9.19M bpd. The market had anticipated a -1.48 decrease in stockpile. Production gained +3.52% to 10.06M bpd while imports plunged -57.19%% to 0.25M bpd during the week. Distillate inventory declined -3.59 mmb to 119.27 mmb as demand soared +7.3% to 4.63M bpd. The market had anticipated a -1.74 mmb drop in inventory. Production added +0.6% to 4.99M bpd while imports surged +83.74% to 0.31M bpd during the week.

Released after market close on Wednesday, the industry- sponsored API estimated that crude oil inventory jumped another significant amount of +8.8 mmb during the week. For refined oil products, gasoline stockpile gained +0.19 mmb while distillate was down -3.2 mmb.

Featured Analysis

Learn Forex Trading