US commercial crude oil inventories dropped -1.6m barrels in the week ending August 14, smaller than expectation of -2.9m barrels. At 512.5m barrels, US oil inventories are about 15% above the five year average for this time of year. Gasoline inventories dropped -3.3m barrels. Distillate fuel inventories rose 0.2m barrels. Propane/propylene was virtually unchanged. Total commercial petroleum inventories dropped -2.6m barrels.
WTI crude oil is still bounded in consolidation from 43.38. The support from 4 hour 55 EMA is near term bullish. But upside momentum is clearly weak for now. Focus is now on 55 week EMA (now at 43.96). Sustained break there could bring some upside acceleration to 55 month EMA (now at 54.24).
