US commercial crude oil inventories dropped -5.2m barrels in the week ending June 4, versus expectation of -3.3m barrels. At 474.0m barrels, oil inventories are about 4% below the five year average for this time of year. Gasoline inventories rose 7.0m barrels. Distillate rose 4.4m barrels. Propane/propylene rose 5.5m barrels. Commercial petroleum rose 15.5m barrels.
WTI crude oil’s up trend continues this week and hits as high as 70.46 so far. It remains to be seen if it could sustain above 70 handle. But for now, outlook will remain bullish as long as 68.33 support holds. Next target is 38.2% projection of 33.80 to 67.83 from 61.51 at 74.50.
