The U.S. Energy Information Administration (EIA) released its weekly petroleum status report this morning. U.S. commercial crude inventories rose by 8.5 million barrels last week, bringing the total U.S. commercial crude inventory to 367.6 million barrels, above the upper limit of the five-year range for this time of the year.
The Dow-Jones estimate called for a weekly crude inventory rise of 500,000 barrels. Crude prices, which were already trading lower today, have continued falling slightly following the EIA report. The higher crude inventory build and the larger-than-expected drop in gasoline inventories did not cancel one another out. The huge build in crude inventory is simply too large to overcome.
Total gasoline inventories decreased by 1.4 million barrels last week and remain in the lower half of the five-year average range. Total motor gasoline supplied averaged 8.9 million barrels a day over the past four weeks — a drop of 0.9%…
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